Ch 18: Assessment 5 Part 1 of 3 14.28 points Skipped Saved Astro Company sold 25,500 units of its only product and reported income of $277,200 for the current year. During a planning session for next year's activities, the production manager notes that variable costs can be reduced 50% by installing a machine that automates several operations. To obtain these savings, the company must increase its annual fixed costs by $148,000. Total units sold and the selling price per unit will not change. ASTRO COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales ($50 per unit) Variable costs ($32 per unit) Contribution margin Fixed costs Income $ 1,275,000 816,000 459,000 181,800 $ 277,200 1. Compute the break-even point in dollar sales for next year assuming the machine is installed. (Round your answers to 2 decimal places.) Contribution Margin per unit Proposed $ Contribution Margin Ratio Numerator: Denominator: 0.00 Contribution Margin Ratio = Contribution margin ratio 0 Break-even point in dollar sales with new machine: Numerator: Denominator: = Break-Even Point in Dollars = Break-even point in dollars 0