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The company is considering a purchase of equipment that would reduce its direct labor costs by $$104,000$ and would change its manufacturing overhead costs to $30\%$ variable and $70\%$ fixed $($assume total manufacturing overhead cost is $$350,000,$ 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 $$250,000,$ 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 $4$ decimal places, e$.$g$.0\mathrm{.}2527$ and all other answers to $0$ decimal places, e$.$g$.2,520.$ Use the current year numbers for calculations.$)$

Contribution margin

Contribution margin ratio

Break$-$even point