The Warren Watch Company sells watches for $25, fixed costs are $105,000, and variable costs are $14 per watch.

1. What is the firm's gain or loss at sales of 6,000 watches? Enter loss (if any) as negative value. Round your answer to the nearest cent.

$____________

2.) What is the firm's gain or loss at sales of 20,000 watches? Enter loss (if any) as negative value. Round your answer to the nearest cent.

$____________

3.) What is the break-even point (unit sales)? Round your answer to the nearest whole number.

____________units

4.) What would happen to the break-even point if the selling price was raised to $32?

Select-

The result is that the break-even point remains unchanged.

The result is that the break-even point is lower.

The result is that the break-even point is higher.Item 4

5.) What would happen to the break-even point if the selling price was raised to $32 but variable costs rose to $28 a unit? Round your answer to the nearest whole number.

Select-

The result is that the break-even point remains unchanged.

The result is that the break-even point increases.

The result is that the break-even point decreases.Item 5