Problem 18: Cost Behavior Irish Corporation is a distributor that has an exclusive franchise to sell a particular product made by another company. Irish income statements for the last two years are given below: This Year Last Year Units Sold 400,000 320,000 Sales revenue 2,000,000 1,600,000 Less: Cost of Goods Sold 1,200,000 960,000 Gross Profit 800,000 640,000 Less: Operating Expenses 520,000 488,000 Net Operating Income 280,000 152,000 Operating expenses are a mixture of fixed and variable and mixed costs that vary with respect to the number of units sold. Required: 1. Estimate the company's variable operating expenses per unit, and its total fixed operating expenses per year. 2. Compute the operating income if sales is 240,000 units