## [solution]: 1. Calculating Costs and Break-Even Night Shades, Inc. (NSI), manufac- tures biotech sunglasses....

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1.        Calculating Costs and Break-Even   Night Shades, Inc. (NSI), manufac- tures biotech sunglasses. The variable materials cost is \$10.48 per unit, and the variable labor cost is \$6.89 per unit. a.   What is the variable cost per unit? b.   Suppose NSI incurs fixed costs of \$870,000 during a year in which total produc- tion is 280,000 units. What are the total costs for the year? c.    If the selling price is \$49.99 per unit, does NSI break even on a cash basis? If depreciation is \$490,000 per year, what is the accounting break-even point?

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