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Golden Gate Novelties ( GGN ) sells souvenir key chains at the local airport. GGN charges $ 1 6 . 0 0 per chain. The

Golden Gate Novelties (GGN) sells souvenir key chains at the local airport. GGN charges $16.00 per chain. The variable cost for a chain, including the wholesale cost of the chain, packaging, the commission paid to the airport operator, and so on, is $14.40. The annual fixed cost for GGN is $15,480.
Required:
a. How many cases must Golden Gate Novelties sell every year to break even?
Note: Do not round intermediate calculations.
b. The owner of GGN believes that the company can sell 12,900 chains a year. What is the margin of safety in terms of the number of chains?
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