Please help me with this question. I do not understand the process of discovering the answer.

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Problem 19-\" Mldlands Inc. had a bad year in 2016. For the rstme in Ils hislom it operated at a loss. The company's 'rncome statement showed the follow-mg rsults from selng 75,000 units of product: net sales 31,500,000; natal costs and expenses $1,900,000; and net loss $400,000. Costs and expenses oonslsled or the follow-mg. Thul Mbl- Han-d Cost of goods sold $1,245,000 $755,000 $490,000 Earling expenses 510,000 90,000 420,000 AdmlnistI-atwe expense-s 145,000 55,000 90,000 $1,900,000 $900,000 $1,000,000 Management is considering the follow-mg Independent alternatws for 2017. 1. Increase um! selng pce 20% um no change in costs and expenses. 2. Change the oompensatrnn of salesperson: trom xeo annual salas totallng $195,000 to total salarles of$35,000 plusa 5% oommisslon on net sales. 3. Purchase new hlghvmch fathom machlnenj that wHI change the pmpor'tlnn between variable and xed cost of goods sold to 50:50. [a] compuoe tne bleak-even polnt in dollars for 2017. (Round contribution marsh) rank: no 2 decimal places 9.5. 0.25 and nal answer to a decimaipu'ms, as. 1,510.) (b) Compute the oreak'even polnt In doHaI-s under each of the arternatlve com-35 or action. (Round calm-inict: margin ratio to 4 dedmal places 3.3. 0.2512 and mm answers to a decfmal places, e4, 2.510.) Bulk-um palm: 1. Increase sell'rng prlce $|:| 2. Change cumpensatrun $|:| 3. Purchase machlnery $|:| Which course ol acon do you recommend? I_