1. Peaches and Cream productsthatares25%of Corporation manufactures cosmetic ugh a network of sales agents. The agents are paid a commissiono 16.25% of sales, Peaches and Cream Corporation Income Statement For the Year Ended December 31,2014 Sales 120,000,000 Cost of goods sold Variable Flxed Gross margin Selling and marketing expenses Commissions 19,500,000 Fixed costs Operating income $58,500,000 1,000,000 69.500.000 50,500,000 29.500,000 21,000,000 The company is considering hiring its own sales staff to replace the network of agents. It will pay its salespeople a commission of 5 % and incur additional fixed costs of 516 million. a. Under the current policy of using a network of sales agents, calculate the Peaches an b. Calculate the company's break-even point in sales dollars for the year 2014 if it hires e. Caleulate the degree of operating leverage at sales of $120 million ir (1) Peaches and Cream Corporation's break-even point in sales dollars for the year 2014 its own sales force to replace the network of agents Cream uses sales agents, and (2) Peaches and Cream employs its own sales staff period, which alternative is better? Using sales agent or employing own sales staft? . If the managers expect a strong economy and 10% increase in sales in the following