XYZ Company is considering the following 2 alternative courses of action:

ALTERNATIVE #1:Selling Price/unit = $100

Variable Cost/ = $80

Fixed Cost + $6,000

ALTERNATIVE #2:Selling Price/unit = $150

Variable Cost/ = $100

Fixed Cost + $20,000

Required: (1) Calculate the number of units to be sold at the Point of Indifference.

(2) Which alternative is better above the Point of Indifference and

which alternative is better below the Point of Indifference?