- Data Table $ 20.00 $ 6.70 $ Sales price per unit: (current monthly sales volume is 130,000 units) Variable costs per unit: Direct materials Direct labor Variable manufacturing overhead Variable selling and administrative expenses Monthly fixed expenses: Fixed manufacturing overhead Fixed selling and administrative expenses 7.00 2.00 $ $ 1.80 $ 102,300 187,800 $ Print Done Drives - n-More Manufacturing manufactures 256GB SD cards (memory cards for mobile phones, digital cameras, and other devices). Price and cost data for a relevant range extending to 200,000 units per month are as follows: (Click the icon to view the data.) Read the requirements Requirement 6. Management is currently in contract negotiations with the labor union. If the negotiations fail, direct labor costs will increase by 10%, and fixed costs will increase by $22,500 per month. If these costs increase, how many units will the company have to sell each month to break even? (Round your answer up to the nearest whole number.) The new breakeven point is units Requirement 7. Return to the original data for this question and the rest of the questions. What is the company's current operating leverage factor (round to two decimals)? Begin by identifying the formula Operating leverage factor (Round your answer to two decimal places.) The operating leverage factor is Requirement 8. If sales volume increases by 7%, by what percentage will operating income increase? (Round the percentage to one decimal place.) The operating income will increase by % Requirement 9. What is the company's current margin of safety in sales dollars? What is its margin of safety as a percentage of sales? Begin by identifying the formula Margin of safety in dollars Drives-n-More Manufacturing manufactures 256GB SD cards (memory cards for mobile phones, digital cameras, and other devices). Price and cost data for a relevant range extending to 200,000 units per month are as follows: B Click the icon to view the data.) Read the requirements Begin by identifying the formula. Margin of safety percentage (Round the percentage to the nearest whole percent.) The margin of safety as a percentage of sales is % Requirement 10. Say the company adds a second size of SD card (512GB in addition to 256GB). A 512GB SD card will sell for $45 and have variable cost per unit of $28 per unit. The expected sales mix is six of the 256GB SD cards for every one of the 512GB SD cards. Given this sales mix, how many of each type of SD card will the company need to sell to reach its target monthly profit of $260,100? Is this volume higher or lower than previously needed (in Question 5) to achieve the same target profit? Why? Begin by computing the weighted average contribution margin per unit. (Round all amounts to the nearest cent, $X.XX.) 256 GB 512 GB Total Less: Weighted average contribution margin ner unit Given this sales mix, how many of each type of SD card will the company need to sell to reach its target monthly profit of $260,100? (Round new target sales in units up to the next whole unit. Round units of the 256GB SD cards and 512GB SD cards to the nearest whole unit.) units of the 256GB SD cards The new target sales in units is The company will need to sell and units of the 512GB SD cards. Is this volume higher or lower than previously needed (in Question 5) to achieve the same target profit? Why? The target sales is v before because now the company is selling a product with unit contribution margin