BUS 341 MIDTERM REVIEW HANDOUT QUESTION 1: XDF Co. sells calendars. The company has fixed costs of $260,000 each month plus variable costs of $1.30 per calendar. XDF Co. sells each calendar for $6.50 and has sold 60,000 calendars in June. Required: a) Compute the number of calendars XDF Co. must sell each month to breakeven. b) What is June's margin of safety in units, in dollars and as a ratio? c What does margin of safety show? d) Due to a new competitor, company would like to go for advertising and advertising costs are estimated to be $10,400 monthly. How many units, then, must be sold to break even