Question 13 of 13 View Policies Current Attempt in Progress Midlands Inc had a bad year in 2019. For the first time in its history. it operated at a loss. The company's income statement showed the following results from selling 80,000 units of product: net sales $1.600,000; total costs and expenses $1,824,800; and net loss $224,800. Costs and expenses consisted of the following Total Variable Fixed Cost of goods sold $1.160,000 $652,000 $508,000 Selling expenses 515,800 91,000 424,800 Administrative expenses 149,000 57,000 92,000 $1,824,800 $800,000 $1,024,800 1 Management is considering the following Independent alternatives for 2020. increase unit selling price 25% with no change in costs and expenses. Change the compensation of salespersons from fixed annual salaries totaling $195,000 to total salaries of $41,985 plus a 5% commission on net sales. Purchase new high-tech factory machinery that will change the proportion between variable and fixed cost of goods sold to 50:50. 2 3. (a) Compute the break-even point in dollars for 2019. (Round contribution margin ratio to 4 decimal places eg. 0.2512 and final answer to O decimal places, eg, 2510.)