• You must show your work (all your calculations) to receive any credit for the assignment. If work is not shown, no credit will be earned.
• In addition, all answers must be clearly shown.

Chapter 2: Introduction to Cost Bohavior and Cost-Volume-Profit Relationships 2-A2 Cost-Volume-Profit and Vending Machines Vendinart Food Services Company operates and services snack vending machines located in restautrants, gas stations, and factories in four southwestern states. The machines are rented from the manufacturer. In addition, Vendmart must rent the space occupied by its machines. The following expense and revenue relationships pertain to a contemplated expansion program of 80 machines. Fixed monthly expenses follow: Other data follow: These questions relate to the given data unless otherwise noted. Consider each question independently. 1. What is the monthly break-even point in number of units (snacks)? In dollar sales? 2. If 45,000 units were sold, what would be the company's net income? 3. If the space rental cost was doubled, what would be the monthly break-even point in number of units? In dollar sales? 4. Refer to the original data. If, in addition to the fixed space rent, Vendmart Food Services Company paid the vending machine manufacturer $.07 per unit sold, what would be the monthly breakeven point in number of units? In dollar sales