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Question 3 Sunland Willis is the advertising manager for Bargain shoe store. She is currently working on a major promotional campaign l-ler ideas include the installation of a new lighting system and increased display space that will add $32,400 in xed costs to the $417,000 currently spent' In addition, Sunland is proposing that a 5% price decrease ($60 to $57) will produce a 20% increase in sales volume (20,000 to 24,000). Variable costs will remain at $35 per pair of shoes' Management Is impressed with Sunland's ideas but concerned about the effects that these changes will have on the break-even point and the margin of safety Compute the current break-even point in units, and compare it to the break-even point in units if Sunland's ideas are used. Current break-even point l pairs of shoes New break-even point ' pairs of shoes Compute the margin of safety ratio for current operations and after Sunland's changes are introduced. (Round answers to a decimal places, e.g. 15%.) Current margin of safety ratio l % New margin of safety ratio ' % Prepare a CVP income statement for current operations and after Sunland's changes are introduced BARGAIN SHOE STORE CVP Income Statement Current New .lsl l$ Would you make the changes suggested? s Click If you would like to Show Work for this question: Qpen Show Work