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Dupli-Pro Copy Shop provides photocopying service. Next year, Dupli-Pro estimates it will copy 3,050,000 pages at a price of $0.1 each in the coming year.

Dupli-Pro Copy Shop provides photocopying service. Next year, Dupli-Pro estimates it will copy 3,050,000 pages at a price of $0.1 each in the coming year. Product costs include:

Direct materials $0.015
Direct labor $0.005
Variable overhead $0.002
Total fixed overhead $176,940

There is no variable selling expense; fixed selling and administrative expenses total $36,000.

Required:

In your computations that involve the contribution margin ratio, do not round the ratio.

1. Calculate the break-even point in units. fill in the blank 1 units

2. Calculate the break-even point in sales revenue. $fill in the blank 2

3. Calculate the margin of safety in units for the coming year. fill in the blank 3 units

4. Calculate the margin of safety in sales revenue for the coming year. $fill in the blank 4

5. What if the total selling and administrative expenses are reduced to $12,600? Recalculate the following:

a. Break-even point in units fill in the blank 5 units
b. Break-even point in sales revenue $fill in the blank 6
c. Margin of safety in units for the coming year fill in the blank 7 units
d. Margin of safety in sales revenue for the coming year $fill in the blank 8

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