Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next months budget appear below: Selling price per unit $ 25 Variable expense per unit $ 12 Fixed expense per month $ 11,570 Unit sales per month 1,040 Required:

1. What is the companys margin of safety? (Do not round intermediate calculations.)

2. What is the companys margin of safety as a percentage of its sales? (Round your percentage answer to 2 decimal places (i.e. .1234 should be entered as 12.34).)