Grab Ems prepares marketing plans for growing businesses For 2017, budgeted revenues are $3,500,000 based on 700 marketing plans at an average rate per part of $5,000. The company would like to achieve a margin of safety percentage of at least 40% The company's current fixed costs are $1,134,000 and variable costs average $3,200 per marketing plan Read the requirements Requirement 1. Calculate Grab Em breakeven point and margin of safety in units First, determine the formulated to calculate the breakeven point in units. then calculate the number of marketing plans that must be sold to break even Fixed costs Contribution margin per unit - Breakeven number of units 1.134 000 1.800 630 Now. cermine the formula used to calculate the margin of safety in units, then calculate the result ludgeted quantity Breakeven quantity Margin of safety in units 700 00 70 Requirement 2. Which of the following changes would help Grab Ems achieve its desired margin of safetya. Average revenus per cutto increases to 50,200 b. Planned number of marketing plan prepared increased by 4%c. Grab Ema purchase new software that results in a sincronse towed costs but reduces variable costs by 12% per marketing plan (Round al margin of safety percentages to the rest whole percent. XXX Roundbreakeven units into the next whole unt) First, calculate the current margin of safety percentage Margin of duty in dollars Budgeted revenues Margin of safety porcentage 2.197.125 4340.000 500 Grab Ems prepares marketing plans for growing business For 2017, budgeted revenues are $3,500,000 based on 700 marketing plans at an average rate per plan of $5.000. The company would like to achieve a margin of safety percentage of at least 40% The company's current fixed costs are $1,134,000 and variable costs average 53.200 per manting Read the woments Requirement 1. Calculate Grab Ems' breaker First, determine the formula used to calculate Requirements break even Food its Contra 1.134.000 (Consider each of the following separately) Now, determine the formula used to calculate 1. Calculate Crab Embreakeven point and margin of safety in units 2. Which of the following changes would help rab Emo achieve its desired Budgeted sales quantity margin of safety 700 The average revenue por customer increases to $6.200 b. The planned number of marketing plans prepared increases by 4% Requirement 2. Which of the following change Grab Ems purchases new software that results in a 6% increase to feed increases to $6.2001. Planned number of marketing plans prepared increases by 4%. costs but reduces variable costs by 12% per marketing plan able costs by 125 per man plan all margin of safety percentages to the nearest First, calculate the current margin of safety per Print Done Mosfety in dollars Budo
