Break-even sales beerbev, inc., reported the following operating information for a recent year: net sales $6,240,000 cost of goods sold $1,560,000 selling, general and administration 1,040,000 $2,600,000 income from operations $ 3,640,000* *before special items in addition, assume that beerbev sold 65,000 barrels of beer during the year. assume that variable costs were 75% of the cost of goods sold and 50% of selling, general and administration expenses. assume that the remaining costs are fixed. for the following year, assume that beerbev expects pricing, variable costs per barrel, and fixed costs to remain constant, except that new distribution and general office facilities are expected to increase fixed costs by $27,300. when computing the cost per unit amounts for the break-even formula, round to two decimal places. if required, round your final answer to one decimal place.

The gilbert instrument corporation is considering replacing the wood steamer it currently uses to shape guitar sides. the steamer has 6 years of remaining life. if kept, the steamer will have depreciaiton expenses of $650 for five years and $325 for the sixthyear. its current book value is $3,575, and it can be sold on an internet auction site for$4,150 at this time. if the old steamer is not replaced, it can be sold for $800 at the endof its useful life. gilbert is considering purchasing the side steamer 3000, a higher-end steamer, whichcosts $12,000 and has an estimated useful life of 6 years with an estimated salvage value of$1,500. this steamer falls into the macrs 5-year class, so the applicable depreciationrates are 20.00%, 32.00%, 19.20%, 11.52%, 11.52%, and 5.76%. the new steamer is fasterand allows for an output expansion, so sales would rise by $2,000 per year; the newmachine's much greater efficiency would reduce operating expenses by $1,900 per year. to support the greater sales, the new machine would require that inventories increase by$2,900, but accounts payable would simultaneously increase by $700. gilbert's marginalfederal-plus-state tax rate is 40%, and its wacc is 15%.a. should it replace the old steamer? b. npv of replace = $2,083.51