1. Your company makes Product 1 and Product 2 using Activity A and Activity B. The cost driver for Activity A is direct labor hours and the cost driver for Activity B is number of setups. Product 1 requires 2,000 direct labor hours and 400 setups, but Product 2 requires 1,500 direct labor hours and 300 setups. If Activity A had an activity rate of $20 per direct labor hour and Activity B had an activity rate of $30 per setup, then what is the total indirect cost assigned to Product 1?
   1. $39,000
   2. $51,000
   3. $52,000
   4. $68,000
2. If your company has Net Operating Income = $450,000, Total Sales Revenue = $980,000, and Contribution Margin Ratio = 0.66, what is the Total Fixed Cost?
   1. $153,000
   2. $196,800
   3. $297,000
   4. $646,800
3. If your company has Total Fixed Cost = $1,000,000, Total Sales Revenue = $5,500,000, Total Variable Cost = $3,500,000, and Number of Units = 125,000, what is the number of units you need to sell to break even?
   1. 22,727
   2. 35,714
   3. 62,500
   4. 125,000