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Paul was a marketing major in college. He believes that sales volume can be increased only by intensive advertising and promotional campaigns. He therefore proposed

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Paul was a marketing major in college. He believes that sales volume can be increased only by intensive advertising and promotional campaigns. He therefore proposed the following plan as an alternative to Peri's: (1) ?increase unit variable selling expenses to $0.575,(2) ?lower the unit selling price by $0.25, ?and (3) ?increase fixed selling expenses by $51,000. ?Paul quoted an old marketing research report that said that sales volume would increase by 60% ?if these changes were made.
Compute net income under Paul's proposal and the break-even point in sales dollars. (Round intermediate calculations to 2 ?decimal places, e.g.15.25 ?and fnal answers to 0 ?decimal places, e.g.2,520.)
Amounts
Net income
$
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