A firm makes and sells surfboards using revolutionary manufacturing processes and materials. The firm sells its surfboards for $110 to its distributors. The surfboards require $30 of foam and fiberglass and 1.0 direct labor hours and annual fixed costs of $475,000. The firm compensates its manufacturing employees at the rate of $25 per hour. The firm also applies variable manufacturing overhead at the rate of 60% of direct labor dollars. If the firm increases the quality of its direct materials, it will experience the following new production costs: - $45 direct materials - 80% of the original labor hours - $50,000 more fixed costs - Applied overhead rate of 50% of the direct labor dollars What is the percentage change in sales dollars required to break even if the firm changes to the higher quality materials? A firm makes and sells surfboards using revolutionary manufacturing processes and materials. The firm sells its surfboards for $110 to its distributors. The surfboards require $30 of foam and fiberglass and 1.0 direct labor hours and annual fixed costs of $475,000. The firm compensates its manufacturing employees at the rate of $25 per hour. The firm also applies variable manufacturing overhead at the rate of 60% of direct labor dollars. If the firm increases the quality of its direct materials, it will experience the following new production costs: - $45 direct materials - 80% of the original labor hours - $50,000 more fixed costs - Applied overhead rate of 50% of the direct labor dollars What is the percentage change in sales dollars required to break even if the firm changes to the higher quality materials