1. Slip Shod Ltd has provided the following production and sales information for each pair of its dress shoes: Direct materials Direct labour Variable factory overhead Selling price Sales commissions S 22 35 15 180 10% of the selling price The fixed costs for the period are $1,125,000. Required: a) Calculate the beak-even point. b) Calculate the number of pairs that must be sold to achieve a profit of $63,000. What c) Would it be better to sell 16,000 pairs at a selling price of $180 each or 19,000 pairs d) If an additional $63,270 is spent on fixed advertising costs, what level of dollar sales is the margin of safety at the sales level? at a selling price of $160? must be attained to earn a new profit of $36,000? Assume that there has been no change in the sales price. e) Assume an income tax rate of 30%. Using the given information, how many pairs of shoes need to be sold to earn an after-tax profit of $37,800