Upon graduating from UTM, you are offered the choice between two positions. Both are commission based with varying monthly incomes. Option 1: $3,000/month 40% of the time, and $5,000/month 60% of the time. • Option 2: $3,000/month 55% of the time, and $6,000/month 45% of the time. For parts (a) and (b): show your calculations (rounding all to 2 decimal places) to determine the following. Include 1 to 2 sentenc which incorporate numerical evidence to explain how you arrived at your conclusion.

A manufacturer sells a particular product in both Brazil and the U.S.  In Brazil, the manufacturer has been selling 4,900 units per year of the product at a price of $200 and a contribution margin of 25 percent. For sales of this product in Brazil, calculate the breakeven sales level for a $20 price increase.  Show your work. In the U.S., the manufacturer’s price for this product is $400 and the contribution margin is 50 percent.  The manufacturer knows that, because of gray market commerce, every one-unit change of sales of this product in Brazil leads to a 0.15-unit sales change in the opposite direction in the U.S.  Given this information, recalculate the breakeven sales level in Brazil described in Part a. Show your work. Using the course material, describe the concept of a price corridor.  Then explain how the difference between the breakeven you calculated in Part (b) and the one you calculated in Part (a) is helpful for applying the price-corridor concept in this situation.

Break-Even Point Hilton Enterprises selis a product for $119 per unit. The variable cost is $68 per unit, while faed costs are $436,968. Determine (a) the break-even point in sales units and (b) the break-even point if the selling price were increased to $124 per unit a. Break-even point in sales units units b. Break-even point if the selling price were increased to 124 per unit units 00

Am. 101.