1. Vasquez Company sells a single product that has variable costs of $5 per unit and the company has total fixed costs of $70,000. Vasquez estimates demand at various activity levels as follows:

Units Sold Price per unit

10,000 14.00

12,000 13.00

14,000 12.00

16,000 11.00

18,000 10.00

1. Calculate the total contribution margin at each price level
2. Which price maximizes profit?