3.4 Calculate the margin of safety (in units) if the variable manufacturing costs increase by 10% and fixed manufacturing overheads cost increase by R24 450. 3.5 Based on the expected sales volume of 40 000 units, determine the sales price per unit that will allow the company to break even. INFORMATION Peryton Limited produces only one product. Expected sales are 40 000 units per year and sales price is R150 per unit. The relevant costs are as follows: Unit Variable cost Total fixed cost Direct materials R30 - Direct labour R36 - Manufacturing overheads R15 R450 000 Marketing expenses R9 R150 000 Administrative expenses - R180 000