EXERCISE 5-6 Compute the Break-Even Point (L05-5) Guided Example 5-6 Mauro Products distributes a single product, a woven basket whose selling price is $15 and whose variable expense is $12 per unit. The company's monthly fixed expense is $4,200 Required: 1. Solve for the company's break-even point in unit sales using the equation method 2. Solve for the company's break-even point in dollar sales using the equation method and the CM ratio. 3. Solve for the company's break-even point in unit sales using the formula method 4. Solve for the company's break-even point in dollar sales using the formula method and the CM ratio. EXERCISE 5-8 Compute the Margin of Safety (L05-7) Guided Example 5-8 Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month's budget appear below: Selling price............ Variable expenses ........ Fixed expenses ......... Unit sales .............. $30 per unit $20 per unit $7,500 per month 1.000 units per month Required: 1. Compute the company's margin of safety. 2. Compute the company's margin of safety as a percentage of its sales