1. Christina is considering leaving her current position to open a music store. Christina s current salary is $45000. Annual music store revenue and costs are estimated at $250000 and $210000 respectively. If Christina decides to open the music store the change in her annual income would be _____. a. $85000 b. ($5000) c. $250000 d. $400002. Deadwood Hospital has overall variable costs of 50% of total revenues and fixed costs of $40 million per year. There are 40000 patient-days estimated for next year. The break-even point expressed in total revenue is _____. a. $80 million b. $40 million c. $10 million d. none of these answers is correct3. The following information is for Kinsner Corporation:Total fixed costs $313500Variable costs per unit $99Selling price per unit $154 If management has a targeted net income of $46200 (ignore income taxes) then the number of units that must be sold is _____.a. 2036 unitsb. 2336 unitsc. 5700 unitsd. 6540 units4. Illinois Company reported the following information about the production and sales of its only product during its first month of operations:Sales ($225 per unit) $405000Direct materials used $176000Direct labor $100000Variable factory overhead $44000 Fixed factory overhead $80000Variable selling and administrative expenses $20000Fixed selling and administrative expenses $10000Ending inventories:Direct materials -0-WIP -0- Finished goods 400 unitsThe cost of goods sold under variable costing is_____.a. $320000b. $360000c. $288000d. $272000

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