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! Required information [ The following information applies to the questions displayed below. ] Astro Company sold 2 2 , 5 0 0 units of

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Astro Company sold 22,500 units of its only product and reported income of $60,000 for the current year. During a planning session for next year's activities, the production manager notes that variable costs can be reduced 45% by installing a machine that automates several operations. To obtain these savings, the company must increase its annual fixed costs by $155,000. Total units sold and the selling price per unit will not change.
\table[[\table[[ASTRO COMPANY],[Contribution Margin Income],[For Year Ended Decembe]],\table[[Statement],[er 31]]],[\table[[Sales ( $55 per unit)],[Variable costs ( $50 per unit)],[Contribution margin],[Fixed costs]],\table[[$1,237,500
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