Bramble Inc. had a bad year in 2019. For the first time in its history, it operated at a loss. The company's income statement showed the following results from selling 75,000 units of product: net sales $1,500,000; total costs and expenses $1,620,000; and net loss $120,000. Costs and expenses consisted of the following. Cost of goods sold Selling expenses Administrative expenses Total 1. $962,000 510,000 148,000 Variable $451,000 91,000 58,000 $1,620,000 $600,000 Fixed $511,000 419,000 90,000 $1,020,000 Management is considering the following independent alternatives for 2020. Increase unit selling price 25% with no change in costs and expenses. 2. Change the compensation of salespersons from fixed annual salaries totaling $205,000 to total salaries of $35,025 plus a 5% commission on net sales.

3. Purchase new high-tech factory machinery that will change the proportion between variable and fixed cost of goods sold to 50:50. (a) Compute the break-even point in dollars for 2019. (Round contribution margin ratio to 4 decimal places eg. 0.2512 and final answer to 0 decimal places, es. 2,510.) Break-even point (b) Compute the break-even point in dollars under each of the alternative courses of action for 2020, (Round contribution morgin rotio to 3 decimal places es. 0.251 and final answers to 0 decimal places, e.g. 2,510) Bramble Inc, had a bad year in 2019. For the first time in its history, it operated at a loss. The company's income statement showed the following results from selling 75,000 units of product: net sales $1,500,000; total costs and expenses $1,620,000; and net loss $120,000. Costs and expenses consisted of the following. Management is considering the following independent alternatives for 2020 . 1. Increase unit selling price 25% with no change in costs and expenses. 2. Change the compensation of salespersons from fixed annual salaries totaling $205,000 to total salaries of $35,025 plus a 5% commission on net sales. Which course of action do you recommend