Colonial Furniture Ltd. is contemplating production of an office desk that would

Colonial Furniture Ltd. is contemplating production of an office desk that would sell for $800. The production of each desk would require $310 in materials and 35 hours of labor at a cost of $8 per hour. Energy supervisory and other variableoverhead costswould amount to $60 per unit. The accounting department has derived an allocated fixed overhead charge of $75 per desk (at a projected volume of 2000 units) to account for the expected increase infixed costs.A. What is Colonial Furnitures breakevensales volume(in units) foroffice desks? Show all your work and explain your answer.B. Calculate the degree ofoperating leverage(DOL) at a projected volume of 2000 units and explain what the DOL means.