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Required information [The following information applies to the questions displayed below) Astro Co. sold 20.000 units of its only product and incurred a $50,000 loss

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Required information [The following information applies to the questions displayed below) Astro Co. sold 20.000 units of its only product and incurred a $50,000 loss (Ignoring taxes) for the current year, as shown here. During a planning session for year 2020's activities, the production manager notes that variable costs can be reduced 50% by instaling a machine that automates several operations. To obtain these savings, the company must increase its annual fixed costs by $200,000. The maximum output capacity of the company is 40,000 units per year ASTRO COMPANY Contribution Margin Income Statement For Year Ended December 31, 2019 Sales $1,eeeeee Variable costs 800,000 Contribution margin 200.000 Fixed costs 250,000 Net loss $(50,000 4. Compute the sales level required in both dollars and units to earn $200,000 of target pretax income in 2020 with the machine installed and no change in unit sales price Sales level required in dollars Choose Numerator: Choose Denominator: Sales Dollars Required Sales dollars required Sales level required in units Choose Numerator: Choose Denominator: Sales Units Required Sales units required

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