Crane Corp.'s sales slumped badly in 2025. For the first time in its history, it operated at a loss. The company's income statement showed the following results from selling 505,500 units of product: sales $2,527,500, total costs and expenses $2,622,000, and net loss $94,500. Costs and expenses consisted of the following amounts. Total Variable Fixed Cost of goods sold $2.156,940 $1,658,040 $498,900 Selling expenses 252,750 93,012 159,738 Administrative expenses 212,310 68,748 143,562 $2,622,000 $1,819.800 $802,200 Management is considering the following independent alternatives for 2026. 1. Increase the unit selling price 20% with no change in total costs, total expenses, and sales volume. 2. Change the compensation of sales personnel from fixed annual salaries totaling $151,650 to total salaries of $60,660 plus a 4% commission on sales. All other total costs, total expenses, and total sales remain unchanged. (a) V Your answer is correct. Compute the break-even point in sales dollars for 2025. Break-even point 2865000 eTextbook and Media Attempts: 1 of 3 usedCompute the contribution margin ratio under each of the alternative courses of action. (Round answers to O decimal places, e.g. 52%.) Contribution margin ratio for alternative 1 % Contribution margin ratio for alternative 2 30 || % Compute the break-even point in sales dollars under each of the alternative courses of action. (Round intermediate value for contribution margin ratio to O decimal places, e.g. 52% and final answer to O decimal places, e.g. 5,275.) Break-even point for alternative 1 $ 2006000 Break-even point for alternative 2 5 2674000 Which course of action do you recommend? | Alternative1 ~