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11 The manager of Calypso, Inc. is considering raising its current price of $30 per unit by 10%. If she does so, she estimates that demand will decrease by 20,000 units per month. Calypso currently sells 50,000 units per month, each of which costs $25 in variable costs. Fixed costs are $180,000. a. What is the current profit? Current Profit b. What is the current break-even point in units? Break-Even Point units c. If the manager raises the price, what will profit be? (Do not round intermediate calculations.) Target Profit d. If the manager raises the price, what will be the new break-even point in units? (Do not round intermediate calculations.) Target Break-Even Point units e. Assume the manager does not know how much demand will drop if the price increases. By how much would demand have to drop before the manager would not want to implement the price increase? (Do not round intermediate calculations.) Number of Units Dallas Inc. sells a product for $60. Variable costs are 60% of sales, and monthly fixed costs are $54,000. 6 a. What is the break-even point in units? Break-Even Point units b. What unit sales would be required to earn a target profit of $120,000? Total Required Sales units c. Assume they achieve the level of sales required in part b, what is the margin of safety in sales dollars? Margin of Safety