CVP analysis and  financial modeling. Recording Products Inc. is a
retailer for highj-tech recording disks, The projected operating
profit for the current year is $200,00 based on a sales volume of
200,000 units. The company has been selling the disks for $16 each;
variable costs consist of the $10 purchase price and a $2 handling
cost. The company's annual fixed costs are $600,000.

Manangement is palnning for the coming year when it expects that the
unit purchase price of the disks will increaser by 30 percent.

a. Calculate the company's break-even piont for the current year in units.
b. What will be the compnay's operating profit for the current year if there 
   is  a 20 percent increase in projected unit sales volume?
c. What volume of dollar sales must be acheived in the coming year to maintain 
   the  current year's operating profiot if the selling price remains at $16
d. Would the use of a financial model be helpful to the firm in addressing 
   issues such as those rasied in requirements b and c? Explain.