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Calculate the companys break-even point in sales dollars for the year 2025 if it hires its own sales force to replace the network of agents.

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Calculate the companys break-even point in sales dollars for the year 2025 if it hires its own sales force to replace the network of agents.

Break-even point $

(C) Calculate the degree of operating leverage at sales of $77,400,000 if (1) Bonita uses a sales agent and (2) Bonita employes its own sales staff.

(1) Bonita uses sales agents

(2) Bonita uses its own sales staff

(D) Calculate the estimated sales volume in sales dollars that would generate an identical net income for the year ending 12/31/2025regardless of whether Bonita Co. employs its own sales staff and pays them an 8% sales commission or continue to use the independent network of agents

Wildhorse Beauty Corporation 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 31,2025 , is as follows. The company is considering hiring its own sales staff to replace the network of agents. It will pay its salespeople a commission of 8% and incur additional fixed costs of $7,740,000. Calculate the company's break-even point in sales dollars for the year 2025 if it hires its own sales force to replace the network of agents. Break-even point

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