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Question 2 of 3 420 E View Policies Current Attempt in Progress Tanek Corpfs sales slumped badly in 2017. For the rst time in its
Question 2 of 3 420 E View Policies Current Attempt in Progress Tanek Corpfs sales slumped badly in 2017. For the rst time in its history, it operated at a loss. The company's income statement showed the following results from selling 575,500 units of product: sales $ 2,877,500, total costs and expenses $ 2,984,880, and net loss $ 107.380. Costs and expenses consisted of the amounts shown below. Total Variable Fixed Cost of goods sold $ 2,455,420 $ 1.887640 $ 567.780 Selling expenses 287,750 105,892 181.858 Administrative expenses 241,710 78,268 163,442 3 2,984,880 $ 2.071800 $ 913.080 Management is considering the following independent alternatives for 2018. 1. Increase unit selling price 20% with no change in costs,expenses, and sales volume. 2. Change the compensation of salespersons from xed annual salaries totaling $ 172,650 to total salaries of $ 69,060 plus a 4% commission on sales. (3) Compute the brea k-even point in dollars for 2017. (Round nal answer to 0 decimal places, 2.3. 1,225.) Break-even point $ Question 2 of 3
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