3C-2

2. Assume that Pittman Company decides to continue selling through agents and pays the 25% commission rate. Determine the volume of sales that would be required to generate the same net income as contained in the budgeted income statement for next year. (Enter your answer in whole dollars and not in thousands. Round CM ratio to 3 decimal places.) Volume of sales (in dollars) 3. Determine the volume of sales at which net income would be equal regardless of whether Pittman Company sells through agents (at a 25% commission rate) or employs its own sales force. (Enter your answer in whole dollars and not in thousands. Round CM ratio to 3 decimal places.) Volume of sales (in dollars)