$2(35$ Marks$)$Gen$5$G Inc. manufactures Cell phones. Last year the company sold $30,000$ phones at $$80$ each. Total costs amounted to $$1,800,000$ of which $$600,000$ were considered fixed.To improve its product, the company is considering replacing a component part that has a cost of $$16$ with a new and better part costing $$26$ per unit in the coming year. A new machine would also be needed to increase plant capacity. The machine would cost $$100,000$ with a useful life of five years and a $$20,000$ salvage value. The company uses straight$-$line depreciation on all plant assets. $($Ignore company tax.$)$ Required:$1.$ Calculate in units, Innovation's break$-$even point for last year. $(10$ marks$)|$ P a g e $42.$ Calculate the number of units that the company would have had to sell in the last year to earn $ $200,000.$ Prove your answer. $(10$ marks$)3.$ If Gen$5$G increases the selling price by $$20,$ and purchases the new part and the new machine, calculate the new contribution margin, the new fixed cost & the number of units that the company will have to sell to make the same net income as last year