The Cardiff Company sells a single product for \(\$ 40\) per unit. Its total fixed cost amounts to \(\$ 360000\) per year, and its variable cost per unit is \(\$ 34\).

Required:

a Compute the following amounts for the Cardiff Company:

i contribution margin per unit ii break-even point in units iii the number of units that must be sold to earn \(\$ 30000\) profit.

b Repeat all calculations in (a), assuming Cardiff decides to increase its selling price per unit to \(\$ 44\). Assume that the total fixed cost and the variable cost per unit remain the same.