Never Late Delivery currently delivers packages for $9 each. The variable cost is $3 per package, and fixed costs are $60,000 per month. Compute the break-even point in both sales dollars and units under each of the following independent assumptions. Comment on why the break-even points are different. 1. The costs and selling price are as just given. 2. Fixed costs are increased to $75,000.

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A:

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