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Please answer! Thank you so much Outta Box Docs prepares marketing plans for growing businesses. For 2021, budgeted revenues are $800,000 based on 400 macketing
Please answer! Thank you so much
Outta Box Docs prepares marketing plans for growing businesses. For 2021, budgeted revenues are $800,000 based on 400 macketing plans at an average rate per plan of $2,000. The company would lko to achieve a margin of safety percentage of at least 30%. The company i's current ficed costs are $180,000 and variable costs averago $1,400 per marketing plan. Requirement 2. Which of the following changes would help Outta Box Docs achieve its desired margin of safety? a. Average revenue per customer increases to $2,900; b. Planned number of marketing plans prepared increases by 6\%; c. Outta Box Docs purchases new sothware that results in a 5% increase to flued costs but reduces variable costs by 10% per marketing plan. (Round all margin of safety percentages to the nearest whole porcent, X.X%. Found breakeven units up to the next whole unit) First, calculate the current margin of safety percentage. a. The average revenue per customer increases to $2,900. b. The planned number of marketing plans prepared increases by 6%. Outta Box Docs' breakeven number of units is now This change help Cutta Box Docs achieve its desired margin of safety of 30%. c. Outta Box Docs purchases new software that results in a 5% increase to fixed costs but reduces variable costs by 10% per marketing plan. Outta Box Docs' breakeven number of units is now plans and its margin of safety percentage is now %. This change help Outta Box Docs achleve its desired margin of sadety of 30%. Requirements (Consider each of the following separately.) 1. Calculate Outta Box Docs' breakeven point and margin of safety in units. 2. Which of the following changes would help Outta Box Docs achieve its desired margin of safety? a. The average revenue per customer increases to $2,900. b. The planned number of marketing plans prepared increases by 6%. c. Outta Box Docs purchases new software that results in a 5% increase to fixed costs but reduces variable costs by 10% per marketing plan. Outta Box Docs prepares marketing plans for growing businesses. For 2021, budgeted revenues are $800,000 based on 400 macketing plans at an average rate per plan of $2,000. The company would lko to achieve a margin of safety percentage of at least 30%. The company i's current ficed costs are $180,000 and variable costs averago $1,400 per marketing plan. Requirement 2. Which of the following changes would help Outta Box Docs achieve its desired margin of safety? a. Average revenue per customer increases to $2,900; b. Planned number of marketing plans prepared increases by 6\%; c. Outta Box Docs purchases new sothware that results in a 5% increase to flued costs but reduces variable costs by 10% per marketing plan. (Round all margin of safety percentages to the nearest whole porcent, X.X%. Found breakeven units up to the next whole unit) First, calculate the current margin of safety percentage. a. The average revenue per customer increases to $2,900. b. The planned number of marketing plans prepared increases by 6%. Outta Box Docs' breakeven number of units is now This change help Cutta Box Docs achieve its desired margin of safety of 30%. c. Outta Box Docs purchases new software that results in a 5% increase to fixed costs but reduces variable costs by 10% per marketing plan. Outta Box Docs' breakeven number of units is now plans and its margin of safety percentage is now %. This change help Outta Box Docs achleve its desired margin of sadety of 30%. Requirements (Consider each of the following separately.) 1. Calculate Outta Box Docs' breakeven point and margin of safety in units. 2. Which of the following changes would help Outta Box Docs achieve its desired margin of safety? a. The average revenue per customer increases to $2,900. b. The planned number of marketing plans prepared increases by 6%. c. Outta Box Docs purchases new software that results in a 5% increase to fixed costs but reduces variable costs by 10% per marketing plan Step by Step Solution
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