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(Break-even point and operating leverage) Rockstar, Inc. manufactures a complete line of men's and women's...

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(Break-even point and operating leverage) Rockstar, Inc. manufactures a complete line of men's and women's casual shoes for independent merchants. The average selling price of its finished product is $90 per pair. The variable cost for this same pair of shoes is $45. Footwear Inc. incurs fixed costs of $180,000 per year. a. What is the break-even point in pairs of shoes sold for the company? b. What is the dollar sales volume the firm must achieve to reach the break-even point? c. What would be the firm's operating profit or loss (that is, net operating income) at the following units of production sold: 6,000 pairs of shoes? 9,000 pairs of shoes? 16,000 pairs of shoes? a. What is the break-even point in pairs of shoes sold for the company? units (Round to the nearest whole number.) b. What is the dollar sales volume the firm must achieve to reach the break-even point? (Round to the nearest cent.) c. What would be the firm's operating profit or loss before interest and taxes (EBIT) at 6,000 pairs of shoes sold? Enter a positive number for a profit and a negative number for a loss. (Round to the nearest dollar.)

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