1) Lyka is the brand manager for the Nintendo Wii. She sells her product to Walmart for $199 and Walmart sells it at a retail price of $269 to...

1)     Lyka is the brand manager for the Nintendo Wii. She sells her product to Walmart for $199 and Walmart sells it at a retail price of $269 to consumers. Sales were going well; in 2008, Lyka sold 3 million units of the Wii. But now, sales were beginning to slow down. To get sales moving again, Lyka wanted to launch a $20 million advertising campaign targeted to senior citizens which would feature the new Wii Fit game. Lyka knew that her product was very profitable, with variable costs of $100, so it seemed like she could afford to spend money advertising the product. She submitted her advertising plan to her boss Tess. Tess liked the idea, but asked Lyka few questions: 

a)     How many incremental units of product she would have to sell to breakeven on the advertising investment, and whether this quantity was feasible, given current sales levels. 

 b) What is the breakeven point?  

c) Can Lyka feasibly sell this quantity if she runs her advertising campaign? Why or why not?