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include the installation of a new lighting system and increased display space that will add $27,600 in fured costs to the $272,000 currently spent. In

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include the installation of a new lighting system and increased display space that will add $27,600 in fured costs to the $272,000 currently spent. In addition. Donna is proposing that a 5% price decrease ( $40 to $38 ) will produce a 20% inerease in sales volume {20,000 to 24,000). Variable costs will remain at $24 per pair of shoes. Management is impressed with Donna's ideas but concerned about the effects that these changes will have on the tireak-even point and the margin of safety. (a) Your answer is correct. Prebare a CVP income statement for current operations and after Donna's changes are introdiced. Compute the current break-even point in sales units, and compare is to the beeak-evon point in sales units if Donna's ideas are implemented. (Round answers to 0 decimal places, e.8. 5.275.) Current beeakeven point New break even point pairs of shoes pairs of shoes eTextbook and Media Last sived 1 second ago. Attempts: unlimited Saved work will be auto-sumetted on the due date. Auto wborision can tike ughtn 10 minutes. (c)

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