The Tops national chain of shirt stores carry many styles of shirts that are all sold at the same price. To encourage sales personnel to step up their sales efforts, the company pays a generous sales commission on each shirt sold. Sales personnel also receive a small basic salary The following table contains cost and revenue data for the Bradbury store. These data are typical of the company's many outlets: Per Shirt $4000 $1800 Variable expenses 700 otal variable apenses.... $2500 Annual $80000 70000 Fxed expenses Tops is a fairly new company. The company has asked you, as a member of its planning group, to assist in some basic analysis of its stores and company policies. Calculate the annual break-even point in dollar sales and in unit sales for the Bradbury store. Prepare a CVP graph showing cost and revenue data for the Bradbury store from 0 shirts up to 30,000 shirts sold each year. Clearly indicate the break-even point on the graph. 1. 2. 3. If 19,000 shirts are sold in a year, what will be the Bradbury store's operating income or loss? 4. The company is considering paying the Bradbury store manager an incentive commission of $3 commissions). If this change is made, what will be the per shirt (in addition to the salesperson's new break-even point in dollar sales and in unit sales? Refer to the original data. As an alternative to (4) above, the company is considering paying the store manager a $3 commission on each shirt sold in excess of the break-even point. If this change is made, what will be the store's operating income or loss if 23,500 shirts are sold in a 5