Rapid Auto has 230 auto-maintenance service outlets nationwide. It provides two main lines of service: oil changes and brake repair. Oil changes and related services represent 70% of its sales and provide a contribution margin ratio of 20%. Brake repair represents 30% of its sales and provides a 60% contribution margin ratio. The companys fixed costs are $20,700,000 (that is, $90,000 per service outlet).

a) Calculate the dollar amount of each type of service that the company must provide in order to break even.

b) The company has a desired operating income of $56,000 per service outlet. Calculate the dollar amount of each type of service that must be provided by each service outlet to meet the companys target operating income per outlet.