The company is considering a purchase of equipment that would reduce its direct labor costs by $93,600 and would change its manufacturing overhead costs to 30% variable and 70% fixed (assume total manufacturing overhead cost is $315,000, as above). It is also considering switching to a pure commission basis for its sales staff. This would change selling expenses to 90% variable and 10% fixed (assume total selling expense is $225,000, as above). Compute (1) the contribution margin and (2) the contribution margin ratio, and recompute (3) the break-even point in sales dollars. (Round contribution margin ratio to 2 decimal places, eg. 0.25 and all other answers to 0 decimal places, eg, 2,520. Use the current year numbers for calculations) 1. Contribution margin 2. Contribution margin ratio 3. Break-even point