Midlands Inc. had a bad year in 2019. For the first time in its history, it operated at a loss. The company's income statement showed the following results from selling 75,000 units of product: net sales $1,500,000; total costs and expenses $1,750,200; and net loss $250,200. Costs and expenses consisted of the following Cost of goods sold Selling expenses Administrative expenses Total Variable Fixed $1,080,000 $600,000 $480,000 520,200 95,000 425,200 150,000 55,000 95.000 $1.750,200 $750,000 $1.000.200 Management is considering the following independent alternatives for 2020 1. Increase unit selling price 25% with no change in costs and expenses. 2. Change the compensation of salespersons from fixed annual salaries totaling $198,000 to total salaries of $37.995 plus a 5% commission on net sales. 3. Purchase new high-tech factory machinery that will change the proportion between variable and fixed cost of goods sold to 50.50 (a) Compute the break-even point in dollars for 2019. (Round contribution margin ratio to 4 decimal placeses 0.2512 and final answer to decimal places, eg. 2,510.) Break-even point 5 (b) Compute the break-even point in dollars under each of the alternative courses of action for 2020. (Round contribution margin ratio to 3 decimal places eg. 0.251 and final answers to decimal places, eg 2510) Break-even point Midlands Inc. had a bad year in 2019. For the first time in its history, it operated at a loss. The company's income statement showed the following results from selling 75,000 units of product: net sales $1,500,000; total costs and expenses $1,750,200; and net loss $250,200. Costs and expenses consisted of the following Cost of goods sold Selling expenses Administrative expenses Total Variable Fixed $1,080,000 $600,000 $480,000 520,200 95,000 425,200 150,000 55,000 95.000 $1.750,200 $750,000 $1.000.200 Management is considering the following independent alternatives for 2020 1. Increase unit selling price 25% with no change in costs and expenses. 2. Change the compensation of salespersons from fixed annual salaries totaling $198,000 to total salaries of $37.995 plus a 5% commission on net sales. 3. Purchase new high-tech factory machinery that will change the proportion between variable and fixed cost of goods sold to 50.50 (a) Compute the break-even point in dollars for 2019. (Round contribution margin ratio to 4 decimal placeses 0.2512 and final answer to decimal places, eg. 2,510.) Break-even point 5 (b) Compute the break-even point in dollars under each of the alternative courses of action for 2020. (Round contribution margin ratio to 3 decimal places eg. 0.251 and final answers to decimal places, eg 2510) Break-even point