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missed the margin of safety ratio Current Attempt in Progress Mary Willis is the advertising manager for Bramble Shoe Store. She is currently working on

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missed the margin of safety ratio

Current Attempt in Progress Mary Willis is the advertising manager for Bramble Shoe Store. She is currently working on a major promotional campaign. Her ideas include the installation of a new lighting system and increased display space that will add $57.600 in fixed costs to the $396,000 currently spent In addition, Mary is proposing that a 5% price decrease (560 to $57) will produce a 20% increase in sales volume (20,000 to 24,000). Variable costs will remain at $36 per pair of shoes. Management is impressed with Mary's ideas but concerned about the effects that these changes will have on the break-even point and the margin of safety. ta Your answer is correct. Compute the current break-even point in units, and compare it to the break-even point in units if Mary's ideas are used. (Round answers to 0 decimal places, eg. 1.225.) Current break-even point 16500 pairs of shoes New break-even point 21600 pairs of shoes eTextbook and Media Attempts: 1 of 3 used - Your answer is partially correct. Compute the margin of safety ratio for current operations and after Mary's changes are introduced. (Round answers to O decimal places, es 15%) Current margin of safety ratio 34 New margin of safety ratio 10 36 Textbook and Media Attempts: 1 of 3 used Submit Answer The perts of this question must be completed in order. This part will be available when you complete the part above

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