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Tanek Corp's sales slumped badly in 2017. For the first time in its history, it operated at a loss. The company's income statement showed the following results from selling 580,500 units of product: sales $2,902,500, total costs and expenses $3,010,860, and net loss $108,360. Costs and expenses consisted of the amounts shown below, Total Variable Fixed Cost of goods sold $2.476,800 $1,904,040 $572.760 Selling expenses 290,250 106,812 183.438 Administrative expenses 243,810 78.948 164,862 $3,010,860 $2,089,800 $921,060 Management is considering the following independent alternatives for 2018 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 $174.150 to total salaries of $69,660 plus a 4% commission on sales Management is considering the following independent alternatives for 2018. 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 $174,150 to total salaries of $69,660 plus a 4% commission on sales (a) Compute the break-even point in dollars for 2017. (Round final answer to 0 decimal places, e.g. 1,225.) Break-even points (b) Compute the contribution margin under each of the alternative courses of action (Round final answers to 0 decimal places, e.s. 1.225.) Contribution margin for alternative 1 %6 Contribution margin for alternative 2 % (by Compute the contribution margin under each of the alternative courses of action (Round Tinar answers to u decimal places, e3. 1.225.) % 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. (Round selling price per unit to 2 decimal places, e8.5.25 and other calculations to O decimal places, e3, 20% and also final answers to o decimal places, eg, 1,225.) Break even point for alternative 1 $ Break-even point for alternative 2 $ Which course of action do you recommend

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