Case 3: Margin of Safety ABC makes and sells a single product, Product X The following information is available concerning this product: Per unit Selling price.. .P120 Direct materials. .30 Direct labor... 25 Fixed cost.. 40 Budgeted sales and production are forecast at 750 units. Due to the pandemic, some uncertainty has now arisen over the level of likely cost expected in the production of X. Required: 1. What is the impact on the margin of safety if material costs increase by 5%? 2. What is the maximum percentage increase in fixed costs possible that will still allow ABC to break even