Using the information in Problem 9-58, complete the following: 

	Current	Proposed
Materials and purchased parts	$ 60.00	$ 15.00
Direct labor	12.50	13.75
Variable overhead	25.00	30.00
Fixed overhead	40.00	20.00
Manufacturing information for CB3668
Number of setups	3,000	2,300
Batch size	50	50
Cost per setup	$ 300	$ 300
Machine hours	$ 88,000	$ 55,000

Required

1. Compute the breakeven in units for both the current and proposed manufacturing plans, assuming that setup costs vary with the number of batches. Assume that setup costs are the only costs that vary with the number of batches.

2. Compare your solution above to that for Problem 9-58 and interpret the difference.