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Check my work Morton Company's contribution format income statement for last month is given below Salon (45,000 units 328 per unit) Variable expenses Contribution margin

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Check my work Morton Company's contribution format income statement for last month is given below Salon (45,000 units 328 per unit) Variable expenses Contribution margin Pined expenses Not operating the $1,260,000 082.000 378,000 302.400 75,600 The industry in which Morton Company operates is quite sensitive to cyclical movements in the economy. Thus, profits vary considerably from year to year according to general economic conditions. The company has a large amount of unused capacity and is studying ways of improving profits Required: 1. New equipment has come onto the market that would allow Morton Company to automate a portion of its operations. Variable expenses would be reduced by 58.40 per unit. However, fixed expenses would increase to a total of $680,400 each month. Prepare two contribution format income statements, one showing present operations and one showing how operations would appear if the new equipment is purchased. 2. Refer to the income statements in (1). For the present operations and the proposed new operations, compute (b) the break-even point in dollar sales, and (cthe margin of safety in dollars and the margin of safety percentage Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 New equipment has come into the marrut that Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Refer to the original data. Rather than purchase new equipment, the marketing manager argues that the company's marketing strategy should be changed. Rather than pay sales commissions, which are currently included in variable expenses, the company would pay salespersons fixed salaries and would invest heavily in advertising. The marketing manager claims this new approach would increase unit sales by 30% without any change in selling price; the company's new monthly fixed expenses would be $646,380; and its net operating income would increase by 20%. Compute the company's break-even point in dollar sales under the new marketing strategy. (Do not round Intermediate calculations. Round your answer to the nearest whole dollar amount.) Show less New break even point in dollar als

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