Astro Company sold 24,500 units of its only product and reported income of $210,600 for the current year. During a planning session for next year's activities, the production manager notes that variable costs can be reduced 41% by installing a machine that automates several operations. To obtain these savings, the company must increase its annual fixed costs by $159,000. Total units sold and the selling price per unit will not change. 1. Compute the break-even point in dollar sales for next year assuming the machine is installed. (Round your answers to 2 decimal places.) 1. Compute the break-even point in dollar sales for next year assuming the machine is installed. (Round your answers to 2 places.) Astro Company sold 24,500 units of its only product and reported income of $210,600 for the current year. During a planning session for next year's activities, the production manager notes that variable costs can be reduced 41% by installing a machine that automates several operations. To obtain these savings, the company must increase its annual fixed costs by $159,000. Total units sold and the selling price per unit will not change. 2. Prepare a contribution margin income statement for next year that shows the expected results with the machine installed. Assume cales are $1,445,500. (Do not round intermediate calculations. Round your answers to the nearest whole dollar.) 2. Prepare a contribution margin income statement for next year that shows the expected results with the machine installed. As sales are $1,445,500. (Do not round intermediate calculations. Round your answers to the nearest whole dollar.) planning session for next year's activities, the production manager notes that variable costs can be reduced 41% by installing a machine that automates several operations. To obtain these savings, the company must increase its annual fixed costs by $159,000. Total units sold and the selling price per unit will not change. 3. Compute the sales level required in both dollars and units to earn $290,000 of target income for next year with the machine installed. (Do not round intermediate calculations. Round your answers to 2 decimal places. Round "Contribution margin ratio" to nearest whole percentage) 3. Compute the sales level required in both dollars and units to earn $290,000 of target income for next ye installed. (Do not round intermediate calculations. Round your answers to 2 decimal places. Round "Con nearest whole percentage)
