Tanek Corps sales slumped badly in 2020. For the first time in its history, it operated at a loss. The company's income statement showed the following results from selling 500,000 units of product: sales $2,500,000, total costs and expenses $2,600,000, and net loss $100,000. Costs and expenses consisted of the amounts shown below. Cost of goods sold Selling expenses Administrative expenses Total $2,140,000 250.000 210,000 $2,600.000 Variable $1,590,000 92,000 68,000 $1.750,000 Fixed $550,000 158,000 142.000 $850,000 Management is considering the following independent alternatives for 2021. 1. 2. Increase unit selling price 20% with no change in costs, expenses, and sales volume. Change the compensation of salespersons from fixed annual salaries totaling $150,000 to total salaries of $60,000 plus a 5% commission on sales. (a) Your answer is correct. Compute the break-even point in dollars for 2020. Break-even point $ 2833333 e Textbook and Media Attempts: 1 of 5 used (b) Compute the contribution margin under each of the alternative courses of action. Contribution margin for alternative 1 % Contribution margin for alternative 2 % Compute the break-even point in dollars under each of the alternative courses of action. Break-even point for alternative 1 $ Break-even point for alternative 2 $ Which course of action do you recommend