Answer Happy

3 Astro Company sold 25,000 units of its only product and reported income of $117600 for the current year. During a planning session for next year's activities, the production manager notes that variable costs can be reduced 40% by installing a machine that automates several operations. To obtain these savings, the company must increase its annual fixed costs by $149,000. Total units sold and the selling price per unit will not change ASTRO CORPANY Contribution Margin Income Statement For Year Ended December 31 Sales ($te per unit) $ 1,000,000 Variable costs (532 per unit) 800.000 Contribution margin 200,000 Fixed costs Income $ 117,600 of 82.400 Book 1. Compute the break-even point in dollar sales for next year assuming the machine is installed. (Round your answers to 2 decimal places.) Contribution Margin per unit Proposed Contribution Margin Ratio Numerator Denominator Contribution Margin Ratio Contribution margin ratio fra ven point in dollar sales with new machine: Numero Denominator Break Even Point in Dollars Break-even point in dollars