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Wilmington Sports Equipment Inc

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Wilmington Sports Equipment Inc. started its business producing equipment for tennis. Although it is still known for its top-of-the-line tennis equipment, it has added sporting equipment for almost every sport (golf, football, basketball, soccer, etc.). The R&D team at Wilmington is very excited about a new material for use in the production of tennis rackets. They think that this new material could be a game changer. Wilmington has secured the patent on the new material and developed 2 prototypes to be tested by well-known tennis players. Marketing is currently exploring different price points for the new tennis rackets. They are $449, $399, and $329. Wilmington's current line of tennis rackets range in price from $69 (child's racket) to $299 (professional quality). The new racket will be priced much higher to reflect the higher quality and increased production costs. The fixed costs associated with the new racket is $1,000,000 (much of this is the cost to acquire the patent on the new material). The variable costs are $179 per unit.
A. What is the breakeven point at each of the proposed prices?
B. Which price would you recommend and why?