Three years ago, KarenWhite started a business that creates and delivers holiday and birthday gift baskets to students at the local university. Karen sells the baskets for $33each, and her variable costs are $23per basket. She incurs $13,400in fixed costs each year.

Last year, Karen sold4,400baskets, and she believes that demand this year will be stable at4,400baskets. The following are the actions Karen could take if she wants to earn $35,000in operating income by selling only4,400baskets. Consider each action independently.(Round per unit answers to 2 decimal places, e.g. 52.75 and fixed cost to 0 decimal places, e.g. 5,275.)

Raise selling price per unit to

Reduce variable costs per unit to

Reduce fixed costs to