Required:

Identify the numbered components in the CVP graph.

State the effect of each of the following actions on line $3,$ line $9,$ and the break$-$even point.

a$.$ The unit selling price is increased from $$18$ to $$20.$

b$.$ Unit variable expenses are decreased from $$12$ to $$10.$

c$.$ Fixed expenses are increased by $$3,000$ per period.

d$.$ Two thousand more units are sold during the period than were budgeted.

e$.$ Due to paying salespersons a commission rather than a flat salary, fixed expenses are reduced by $$8,000$ per period and unit

variable expenses are increased by $$3.$

f$.$ Due to an increase in the cost of materials, both unit variable expenses and the selling price are increased by $$2.$

g$.$ Advertising costs are increased by $$10,000$ per period, resulting in a $10\%$ increase in the number of units sold.

h$.$ Due to automating an operation previously done by workers, fixed expenses are increased by $$12,000$ per period and unit variable

expenses are reduced by $$4.$