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that the company can increase sales by 5,000 units for each $2 reduction in the selling price. The company's present selling price is $90 per

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that the company can increase sales by 5,000 units for each $2 reduction in the selling price. The company's present selling price is $90 per unit, and variable expenses are $60 per unit. Fixed expenses are $832,200 per year. The present annual sales volume (at the $90 selling price) is 25,800 units. Required: 1. What is the present yearly net operating income or loss? 2. What is the present break-even point in unit sales and in dollar sales? 3. Assuming that the marketing studies are correct, what is the maximum annual profit that the company can earn? At how many units and at wltat selling price per unit would the company generate this profit? 4. What would be the break-even point in unit sales and in dollar sales using the selling price you determined in (3) above (eg, the selling price at the level of maximum profits)? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Fequired 4 what is the present break-even point in unit sales and in dollar sales? (o not found intermediate calculations Braven point in unit Breakon point in dollars

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