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Blossom Corp's sales slumped badly in 2022. For the first time in its history, it operated at a loss. The compamy's income statement showed the
Blossom Corp's sales slumped badly in 2022. For the first time in its history, it operated at a loss. The compamy's income statement showed the following resuits from selling 575,500 units of product 5ales$2.877,500, total costs and expenses $2,984,880, and net loss $107,380. Costs and expenses consisted of the following amounts. Management is considering the following independent alternatives for 2023. 1. Increase unit selling price 20% with no change in costs, expenses, and sales volume. 2. Change the compensation of salespersons from foxed annual salaries totaling $172,650 to total salaries of $69,060 plus a 5% commission on sales. (a) Compute the break-even point in dollars for 2022. Break-even point $ eTextbook and Media Attempts: 1 of 2 used (b) Compute the contribution margin ratio under each of the alternative courses of action. (Round answers to 2 decimal places, e.g 21.22.) Contribution margin ratio for alternative 1 Compute the break-even point in dollars for 2022. Break-even point eTextbook and Media Attempts: 1 of 2 used (b) Compute the contribution margin ratio under each of the alternative courses of action. (Round answers to 2 decimal places, e.g 21.22.) Contribution margin ratio for alternative 1 Contribution margin ratio for alternative 2 Compute the break-even point in dollars under each of tije alternative courses of action. Break-even point for alternative 1$ Break-even point for alternative 2 Which course of action do you recommend
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