Del Campo Corporation sales slumped badly in year $2023.$ For the first time in its history, its operarated at a loss. The company's income statement showed the results from selling $500,000$ units of product.

Costs consisted of the amounts shown below. Management is considering the following independent alternatives for year $2024.$

Increase unit selling prince $20\%$ with no change in costs, expenses and sales volume.

Change the compensation of sales persons from the fixed assual salaries totalinng $$150,000$ to total

salaries of $$60,000$ plus a $5\%$ commission on sales.

Required:

a$.$ Compute the break$-$even point in dollars for $2024.$

b$.$ Compute the break$-$even point in dollars under each of the following alternative course of action.

Which course of action do yo recommmend?

Show Work please.