Using break-even analysis; accept or reject a special offer A company has prepared the following statistics regarding its pro- duction and sales at different capacity levels. Capacity Level 60% 80% 100% Units .......... 60,000 80,000 100,000 Sales... $240,000 $320,000 $400,000 Total costs: Variable .......... $120,000 $160,000 $200,000 Fixed ............ 150,000 150,000 150,000 Total costs........... $270,000 $310,000 $350,000 Net operating income (loss) ............. $(30,000) $10,000 $ 50,000 1. At what point is break-even reached in sales dollars? In units? (Hint: Use the capacity level to determine the number of units.) 2. If the company is operating at 60% capacity, should it accept an offer from a customer to buy 10,000 units at $3 per unit