The company that you work for as a managerial accountant uses independent agents to sell its products. These agents are currently being paid a commission of $15\%$ of the sales price,but are asking for an increase to $20\%$ of sales made during the coming year. You had already prepared the following income statement for the company based on the $15\%$ commission: Income StatementYear Ending April $30,2016$Sales$$1,000,000$Cost of goods sold $($all variable$)600,000$Gross profit$400,000$Selling and administrative expenses Commissions only$$150,000$Fixed costs$10,000160,000$Income before taxes$240,000$Income tax expense $(25\%)60,000$Operating income$$180,000$Management wants to examine the possibility of employing the company's ownsalespeople. The company would need a sales manager at an annual salary of $$60,000$ and three sales peopleat an annual salaryof $$30,000$ each, plus a commission of $5\%$ of sales. All other fixed costs, as well as the variable cost percentageswould remain the same as in the above pro forma income statement.Instructionsa$)$Based on the pro forma income statement you have already prepared, calculate the break$-$even point in sales dollars for the company for the year ending April $30,2016.$b$)$Calculate the break$-$even point in sales dollars for the year ending April $30,2016,$ if the company uses its ownsalespeople.c$)$Calculate the volume of sales dollars required for the year ending April $30,2016,$ to have the same operating income as projected in the pro forma income statement if the company continues to use the independent sales agents and agrees to their demand for a $20\%$ sales commission.d$)$Calculate the estimated sales volume in sales dollars that would generate an identicaloperating income for the year ending April $30,2016,$ regardless of whether the company employs its ownsales people or continues to use the independent sales agents and pays them a $20\%$ commission