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Astro Co. sold 19.200 units of its only product and incurred a $43,072 loss (ignoring taxes) for the current year, as shown here. During a

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Astro Co. sold 19.200 units of its only product and incurred a $43,072 loss (ignoring taxes) for the current year, as shown here. During a planning session for year 2020's activities, the production manager notes that variable costs can be reduced 50% by Installing a machine that automates several operations. To obtain these savings, the company must Increase its annual fixed costs by $142,000. The maximum output capacity of the company is 40,000 units per year. ASTRD COMPANY Contribution Margin Incore Statenent For Year Ended December 31, 2019 Sales $ 704,640 Variable costs 563 212 Contribution argin 140,928 Fixed costs 184,000 Net loss $(41,072) 2. Compute the predicted break-even point in dollar sales for 2020 assuming the machine is installed and there is no change in the unit selling price. (Round your answers to 2 decimal places.) Proposed Contribution Margin per unit Sales Variable costs $ 30.20 Por unit 14 68 Per unit 22.02 Petunit Contribution Margin Ratio Choose Numerator: Choose Denominator: Contribution Margin Ratio Contribution margin ratio Break even point in dollar sales with new machine: Choose Numerator: Choose Denominator Break-Even Point in Dollars Break-even point in dollars 0

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