- because he wanted to know what was Azad Inc.'s margin of safety ratio. He also wanted to know what amount of sales would be necessary in 2017 to provide for a twenty percent increase in profits. Required A) On the second sheet calculate the margin of safety ratio for Mr. Axad B) Calculate the amounts of sales needed to achieve a 20% increase in profits Part 3 The production manager, Mr. Awah met with Fatima to talk about the purchase of a laser cutting machine. The machine would cost 1,200,000 and would increase production efficiencies over the next three years. The new machine would require less Direct labor. He estimated that direct labor costs could be reduced by 800,000. Fatima pointed out to him