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Please can you help me solving this question: For nearly 20 years, Sunland Coatings has provided painting and galvanizing services for manufacturers in its region.

Please can you help me solving this question:

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For nearly 20 years, Sunland Coatings has provided painting and galvanizing services for manufacturers in its region. Manufacturers of various metal products have relied on the quality and quick turnaround time provided by Sunland Coatings and its 20 skilled employees. During the past year. as a result of a sharp upturn in the economy, the company's sales have increased by 30% relative to the previous year. The company has not been able to increase its capacity fast enough, so Sunland Coatings has had to turn work away because it cannot keep up with customer requests. Top management is considering the purchase of a sophisticated robotic painting booth. The booth would represent a considerable move in the direction of automation versus manual labour. If Sunland Coatings purchases the booth, it would most likely layoff 15 of its skilled painters. To analyze the decision, the company compiled production information from the most recent year and then prepared a parallel compilation assuming that the company would purchase the new equipment and lay off the workers.As you can see, the company projects that during the past year it would have been far more protable if it had used the automated approach. Sales $1,330,000 $1.330,000 Variable costs 1,128,000 3?6,000 Contribution margin 752,000 1,504,000 Fixed costs 188,000 564,000 Operating income $564,000 $940,000 Calculate the contribution margin ratio under each approach. Current Approach Automated Approach Contribution margin ratio % % Calculate the break-even point in sales dollars under each approach. Current Approach Automated Approach Break-even point $ $Using the current level of sales, calculate the margin of safety ratio under each approach and interpret your findings. (Round answers to 2 decimal places, e.g. 2.75%.) Current Approach Automated Approach Margin of safety ratio % % The current approach is V risky. Determine the degree of operating leverage for each approach at current sales levels. (Round answers to 2 decimal places, e.g. 2.75.) Current Approach Automated Approach Degree of operating leverage Calculate how much the company's operating income would decline under either approach with a 10% decline in sales. (Round answers to 2 decimal place, e.g. 27.50%.)Degree of operating leverage Calculate how much the company's operating income would decline under either approach with a 10% decline in sales. [Round mm2dednuiplae, 8.8.2750?\" In times of falling sales. the approach would be preferred. If there was a 10% decrease in sales. operating income under the current approach would v by I Determine at what level of sales the company's operating income would be the same under either approach. Level of sales $

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