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Please help with the answers to this question. CVP Analysis and Special Decisions Sweet Grove Citrus Company buys a variety of citrus fruit from growers

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CVP Analysis and Special Decisions Sweet Grove Citrus Company buys a variety of citrus fruit from growers and then processes the fruit into a product line of fresh fruit, juices, and fruit avorings. The most recent year's sales revenue was $4,200,000. Variable costs were 60 percent of sales and xed costs totaled $1,500,000. Sweet Grove is evaluating two alternatives designed to enhance protability. - One staff member has proposed that Sweet Grove purchase more automated processing equipment. This strategy would increase xed costs by $400,000 but decrease variable costs to 54 percent of sales. - Another staff member has suggested that Sweet Grove rely more on outsourcing for fruit processing. This would reduce fixed costs by $400,000 but increase variable costs to 65 percent of sales. Round your answers to the nearest whole number. (a What is the current break-even point in sales dollars? (b) Assuming an income tax rate of 37 percent, what dollar sales volume is currently required to obtain an after-tax profit of $300,000? $ 0 x (c) In the absence of income taxes, at what sales volume will both alternatives (automation and outsourcing) provide the same profit? $ 0 x

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