Using the cost equation, you developed in Question 2.b. answer the following: y=60x + 40000

a. Assume the company expects to produce and sell 1,500 units during the following month at a price of $100 per unit:

i. Prepare an income statement based on financial reporting (absorption method)

ii. Prepare an income statement based on the contribution margin approach (variable method)

iii. Calculate the contribution margin per unit iv. Calculate the break-even point in units per month