Compute the breakeven under the new proposal.

Prepare comparative Contribution Margin Income Statements for the current and proposed manufacturing processes assuming the sales volume is $480$ units per month.

$\backslash$table$[[,$Current Process,Proposed new process$],[$Sales Revenue,,$],[$Variable Costs,,$],[$Fontribution Margin,,$],[$Fixed Costs,,$],[$Net Income,,$]]$

If the company is expected to sell $480$ units a month, should they build the new factory?

Yes No $($circle one$)$

Why?