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Bonita Beauty as follows. n manufactures cosmetic products that are sold through a network of sales agents. The agents are paid a commission of 18%
Bonita Beauty as follows. n manufactures cosmetic products that are sold through a network of sales agents. The agents are paid a commission of 18% of sales. The income statement for the year ending December 31, 2020, is BONITA BEAUTY CORPORATION Income Statement For the Year Ended December 31, 2020 Sales $74,800,000 Cost of goods sold Variable Fixed Gross margin $32,164,000 8,970,000 41,134,000 $33,666,000 Selling and marketing expenses Commissions Fixed costs Operating income $13,464,000 10,791,300 24,255,300 $9,410,700 The company is considering hiring its own sales staff to replace the network of agents. It will pay its salespeople a commission of 7% and incur additional fixed costs of $8,228,000 Under the current policy of using a network of sales agents, calculate the Bonita Beauty Corporation's break-even point in sales dollars for the year 2020. Break-even point Click if you would like to Show Work for this
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