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Jetson Co. sold 20,000 units of its only product and incurred a $50,000 loss {ignoring taxes) for the year 2019. During a planning session for the year 2020'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 xed costs by $150,000. The maximum output capacity of the company is 40,000 units per year. J etson Company Contribution Margin Income Statement For the year ended December 31, 2019 Sales $250,000 Variable costs 600,000 Contribution margin 150,000 Fixed costs 200,000 Net loss ($50,000) Required 1. Compute the break-even point in dollar sales for the year 2019. 2. Compute the predicted break-even point in dollar sales for the year 2020 assuming the machine is installed and there is no change in the unit sales price. 3. Prepare a forecasted contribution margin income statement for 2020 that shows the expected results with the machine installed. Assume that unit sales price and the number of units sold will not change, and no income taxes will be due. 4. Compute the sales level required in both dollars and units to eam $140,000 of aer-tax income in 2020 with the machine installed and no change in the unit sales price. Assume that the income tax rate is 30%. 5. Prepare a forecasted contribution margin income statement that shows the results at the sales level computed in 4. Assume an income tax rate of 30%