Assignment assume you are the manufacturer and answer

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Assignment Assume you are the manufacturer and answer the following questions using the information in the case. Calculate answers to at least three decimal places except for unit calculations, which should be rounded up to the next full
unit 1. What is the unit contribution for Hohner? or Pasi 2. What is Hohner's break-even point? 3. What market share does Hohner need to break even? 4. What is Hohner's profit? 5. Industry demand is expected to increase to 900,000 units next year. Schmidt is considering raising his advertising budget to 1 million. a. If the advertising budget is raised how many units must Hohner sell to break even? b. How many units must Hohner sell to achieve the same profit in terms of dollar amount) next year as it earned this year? c. What must Hohner's market share be next year for its profit in terms of dollar amount) to be the same as this year? After some reflection, Schmidt decided not to increase Hohner's advertising budget. With industry demand expected to increase to 900,000 units next year, Schmidt thought he would give retailers an incentive to promote the Marine Bandby raising their margins from 33% to 40%. The margin increase would be accomplished by lowering the mamfacturer's price of the product to retailers. Distributor margins would remain at 12% a. If retailer margins are raisedto 40% next year, how many Marine Bands must Hohner sell to break even? b. How many units must Hohner sell to achieve the same profit in terms of dollar amount) next year as it earned this year? c. What must Hohner's market share befor its profit (in terms of dollar amount) to remain at this year's level?

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