Question 3 Manatee Splash has received a demand forecast for next month for 300,000 bottles. Fixed costs are $20,000/ month and variable costs are 25 cents a bottle 3.1 What is the break-even quantity if each bottle sells for 50 cents? ( 25 points) 3.2. At what price must she sell for profit of $100,000.00 ? (25 points) Question 4 Jacee is investigating options to purify her water. She currently purchases the water by the tanker already purified (outsourced). She thinks buying the tanker of water, unpurified, and then completing purification in-house may be a more cost effective option. The outsourced option has an annual fixed cost of $0 and a variable cost of $9,000/ tanker. Inhouse the fixed cost will be $100,000 and variable cost of $5,000/ tanker. Revenue per tanker is $10,000 4.1 At what volume, in number of tankers, would both options yield the same profit? (25 points) 4.2 If expected annual demand is 240 tankers, which alternative (purified inhouse or outsourced) will yield the higher profit? ( 25 points) In-house Outsourced