Sandhill Beauty Corporation manulactures coumetic products that are sold through a network of sales agents....
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Sandhill Beauty Corporation manulactures coumetic products that are sold through a network of sales agents. The agents are paid a commission of 20% of sales. The income statement for the year ending December 31,2022 , is as follows. The company is considering hiring its own sales staff to replace the network of agents. It will pay its salespeople a commission of 7 . and incur additional foed costs of $9.932,000 (a) Vour anweris correct Under the current policy of using a network of sales agents, cakculate the Sandhul Beauty corporaticn's break even polnt in sales dollars far the year 2022 . Break-evenpoint Calculate the company's break-even point in sales dollars for the year 2022 if it hires its own sales force to replace the network of agents. Calculate the sales dollars that would generate an identical net income for the year ending December 31, 2022, regardless of whether Sandhill Beauty Corporation employs its own sales staff and pays them an 7% commission or continues to use the independent network of agents
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