Required Information [The following information applies to the questions displayed below.] Astro Company sold 21,000 units of its only product and reported Income of $84,800 for the current year. During a planning session for next year's activities, the production manager notes that variable costs can be reduced 48% by Installing a machine that automates several operations. To obtain these savings, the company must increase its annual fixed costs by $152,000. Total units sold and the selling price per unit will not change. ASTRO COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales ($52 per unit) Variable costs ($44 per unit) Contribution margin Fixed costs Income 1. Compute the break-even point in dollar sales for next year assuming the machine is installed. (Round your answers to 2 decimal places.) Contribution Margin per unit Contribution Margin Ratio Numerator: 1 $ 1,092,000 924,000 168,000 83,200 $ 84,800 Break-even point in dollar sales with new machine: Numerator: 1 1 Proposed Denominator: Denominator: Contribution Margin Ratio = Contribution margin ratio = = Break-Even Point in Dollars Break-even point in dollars Required Information [The following information applies to the questions displayed below.] Astro Company sold 21,000 units of Its only product and reported income of $84,800 for the current year. During a planning session for next year's activities, the production manager notes that variable costs can be reduced 48% by Installing a machine that automates several operations. To obtain these savings, the company must increase its annual fixed costs by $152,000. Total units sold and the selling price per unit will not change. ASTRO COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales ($52 per unit) Variable costs ($44 per unit) Contribution margin Fixed costs Income ASTRO COMPANY Contribution Margin Income Statement For Year Ended December 31 $ 1,892,800 924,000 2. Prepare a contribution margin income statement for next year that shows the expected results with the machine installed. Assume sales are $1,092,000. (Do not round Intermediate calculations. Round your answers to the nearest whole dollar.) Contribution margin 168,000 83,290 $ 84,800