2. Schmaltz, Ltd. Produces a variety of specialty beverages. One of its products is made in...

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2. Schmaltz, Ltd. Produces a variety of specialty beverages. One of its products is made in a separate facility for which monthly rent, administrative costs, and equipment leasing is $80,000. The facility has a monthly capacity of $50,000 cases of the specialty beverage. Eight workers handle production and shipping. Each receives salary and fringe benefits of $2,500 per month. Packaging and distribution costs are $0.30 per case, and ingredients cost $1.10 per case. The product is sold for $5.89 a case. Determine the following: a) The profit or loss on sales of 40,000 cases. b) The break-even volume. Hint: note carefully which costs are truly variable. c) The profit or loss that would result from sales of 60,000 cases. 2. Schmaltz, Ltd. Produces a variety of specialty beverages. One of its products is made in a separate facility for which monthly rent, administrative costs, and equipment leasing is $80,000. The facility has a monthly capacity of $50,000 cases of the specialty beverage. Eight workers handle production and shipping. Each receives salary and fringe benefits of $2,500 per month. Packaging and distribution costs are $0.30 per case, and ingredients cost $1.10 per case. The product is sold for $5.89 a case. Determine the following: a) The profit or loss on sales of 40,000 cases. b) The break-even volume. Hint: note carefully which costs are truly variable. c) The profit or loss that would result from sales of 60,000 cases.