Alternative Production Procedures and Operating Leverage

Assume Sharpie, a brand of Newell Brands, is planning to introduce a new executive pen that can be manufactured using either a capital$-$intensive

costs for each method are as follows:

Sharpie's market research department has recommended an introductory unit sales price of $$100.$ The incremental selling costs are predicted to be $$250,000$ per year plus $$4$ per unit sold. Determine the annual break even in unit if shapie uses the labour$-$intensive manufacturing method