Klinken Corporation's contribution margin ratio on the sale of its most popular product is 42% . The product is priced at $100 , annual fixed expenses are $900,000 . Management is evaluating two options : (1) lowering variable costs by 15 and (2) reducing fixed expenses by 15% .

Klinken Corporation's contribution margin ratio on the sale of its most popular product is 42%. The product is priced at $100, annual fixed expenses are $900,000. Management is evaluating two options: (1) lowering variable costs by 15% and (2) reducing fixed expenses by 15%. Required: Calculate the current level of break-even sales in dollars, as well as the break-even sales for the two options. (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Break-even sales in dollars Option 1: Break-even sales in dollars Option 2: Break-even sales in dollars