Ch. 5: Capacity Planning Given the following data, answer the following questions: Fixed costs: $8,000/year Variable costs: $6/unit Price: $10/unit 1. What would be the profit or loss if 7000 units were sold? [20,000] 2. How many units would need to be produced and sold in order to break even? [2,000] 3. How many units would need to be produced and sold in order to make a profit of $5,000? [3,250] 4. If design and effective capacities are 10,000 and 8,000 units per year respectively, and there are plans to make 7,000 units each year, what will be the utilization of this facility? [70%] 5. If design and effective capacities are 10,000 and 8,000 units per year respectively, and there are plans to make 7,000 units each year, what will be the efficiency of the facility? [87.5%]