Astro Co. sold 19,600 units of its only product and incurred a $46,568 loss (ignoring taxes) for the current year as shown here. During a planning session for year 2018s 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 $146,000. The maximum output capacity of the company is 40,000 units per year.

Problem 21-4A Break-even analysls; Income tergeting and forecasting LO C2, P2, A1 The following Information applies to the questions displayed below Astro Co. sold 19,600 units of lts only product and Incurred a $46,568 loss (lgnoring taxes) for the current year as shown here. Durlng a planning sesslon for year 2018's activtles, the production manager notes that varlable costs can be reduced 50% by installing a machine that automates several operations. To obtain theGe savings, the company must increase Its annual fixed costs by $146,000. The maxlmum output capacity of the company Is 40,000 units per year ASTRO COMPANY Contribution Margin Income Statement For Year Ended Decenber 31, 2817 Sales Variable costs Contribution nargin Fixed costs Net loss 727,168 581,728 145,432 192,808 S (46,568 Problem 21-4A Part 1 Required: 1. Compute the break-even point In dollar sales for year 2017. (Round your answers to 2 decimal places.) Contribution margin 0.00 Margin Ratio Contribution margin per unit Sales per unit k-Even Point in Dollar Sales: Choose Choose - Break-Even Point in Doll ixed costs per unit Contribution margin ratioBreak-even point in dollars