Waterloo Storage Products makes a four-drawer plastic storage cabinet on casters meant for use in garages and workshops. Each cabinet sells for $35. Data for last year's operations follow: Units in beginning inventory Units produced Units sold Units in ending inventory 25,000 21,500 3,500 8 10 2 4 Variable costs per unit: Direct materials Direct labour Variable manufacturing overhead Variable selling and administrative Total variable cost per unit Fixed costs: Fixed manufacturing overhead Fixed selling and administrative Total fixed costs $ 24 $ 75,000 110,000 $185,000 Required: 1. Assume that the company uses variable costing. Compute the unit product cost for one storage cabinet. Unit product cost $ 20 2. Assume that the company uses variable costing. Prepare a contribution format income statement for the year. (Do not leave any empty spaces; input a O wherever it is required.) Variable Costing Income Statement Sales $ 752,500 $ Variable expenses: Variable cost of goods sold: Beginning inventory Add: Variable manufacturing costs Goods available for sale Less: Ending inventory 387,000 43,000 430,000 430,000 430,000 322,500 Variable selling and administrative Contribution margin Fixed expenses: Fixed manufacturing overhead Fixed selling and administrative Operating profit 75,000 110,000 185,000 137,500 $ 3. What is the company's break-even point in terms of units sold? (Round your answer to the nearest whole number.) Break-even units sales 16,818 units