The sales manager for Zager & Evans is convinced that sales volume can be increased substantially if the price of its product can be reduced from $70 per unit to $56. The unit variable cost is $42. Fixed costs are $252,000. Last year, the company sold 110,000 units. 1. How many units must be sold this year at the new price to break even? 2. How many units must be sold this year at the new price to earn the same pretax profit as last year? Jefferson Airplane Mfg. iTcurred the following costs during April: Direct materials Direct labor $14,000 17,000 Other costs: Manufacturing Marketing Administrative Variable $18,000 3,000 7,000 Fixed $12,000 11,000 6,000 The amount classified as product costs would be $