Problem 18-4A Break-even analysis: income targeting and forecasting LO C2. P2. A1 The following information applies to the questions displayed below. Astro Co. sold 19,300 units of its only product and incurred a $54,940 loss fignoring taxes) for the current year as shown here. During a planning session for year 2020's activities, the production manager notes that variable costs can be reduced 40% by installing a machine that automates several operations. To obtain these savings, the company must increase its annual fixed costs by $143,000. The maximum output capacity of the company is 40.000 units per year ASTRO COMPANY Contribution Margin Income Statement For Year Ended December 31, 2010 Sales $710, 240 Variable costs 532, 680 Contribution margin 177.560 Fixed costs 232,500 Net loss (54, 940) Problem 18-4A Part 1 Required: 1. Compute the break-even point in dollar sales for 2019. (Round your answers to 2 decimal places.) Contribution Margin Per Unit Current Year Contribution Margin Ratio Choose Numerator: Fixed costs per unit = Choose Denominator Contribution margin ratio Contribution Margin Ratio Contribution margin ratio Break-Even Point in Dollar Sales: Choose Numerator: 1 Choose Denominator: = Break-Even Point in Dollars Contribution margin per unit Contribution margin ratio Break-even point in dollars