b) compute the margin of safety ratio for current operations and after Marys changes are introduced

c) prepare a CVP income statement for current operations and after marys changes are introduces

Problem 18-4A (Part Level Submission) Mary Willis is the advertising manager for Bargain Shoe Store. She is currently working on a major promotional campaign. Her ideas include the installation of a new lighting system and increased display space that will add $58,800 in fixed costs to the $399,000 currently spent. In addition, Mary is proposing that a 5% price decrease $60 to $57) will produce a 20% increase in sales volume 20 000 to 24,000 Variable costs will remain at 36 per a r s Managements more ed with Mary's ideas but concerned about the effects that these changes will have on the break-even point and the margin of safety. Compute the current break-even point in units, and compare it to the break-even point in units If Mary's ideas are used. (Round answers to 0 decimal places, e.g. 1,225.) Current break-even point New break-even point Click if you would like to Show Work for this question: pairs of shoes pairs of shoes Open Show Work o of 1 used SAVE FOR LATER SUBMIT ANSWER SUBMIT