Chase Company produces and sells strings of colorful indoor/outdoor lights for holiday display to retailers for $6.28 per string. The variable costs per string are as follows:

Direct materials ........$1.27

Direct labor ..........1.58

Variable overhead ......0.63

Variable selling .......0.17

Fixed manufacturing costs total $231,650 per year. Administrative costs (all fixed) total $315,390. Chase expects to sell 380,000 strings of light next year.

Required:

1. Calculate the break-even point in units.

2. Calculate the margin of safety in units.

3. Calculate the margin of safety in dollars.