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

Required information
[The following information applies to the questions displayed below.]
Astro Company sold 20,000 units of its only product and reported income of $25,000 for the current year. During a
planning session for next year'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 $241,000. The selling price per unit will not change.
Compute the break-even point in dollar sales for next year assuming the machine is installed.
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