Bill Johnson, sales manager, and Diane Buswell, controller, at Current Designs are beginning to analyze the cost considerations for one of the composite models of the kayak division. They have provided the following production and operational costs necessary to produce one composite kayak.

$\backslash$table$[[$Kevlar ${?}^{},$$$220$ per kayak$],[$Resin and supplies,$$160$ per kayak$],[$Finishing kit $($seat$,$ rudder, ropes, etc.$),$$$170$ per kayak$],[$Labor$,$$$430$ per kayak$],[$Selling and administrative expenses$-$variable,$$450$ per kayak$],[$Selling and administrative expenses$-$fixed,$$227,650$ per year$],[$Manufacturing overhead$-$fixed,$$290,000$ per year$]]$

Bill and Diane have asked you to provide a cost$-$volume$-$profit analysis, to help them finalize the budget projections for the upcoming year. Bill has informed you that the selling price of the composite kayak will be $$2,300.$

$($a$)$