question b!

F Oriale Willis is the advertising manager for Bargain 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 $34,200 in fixed costs to the 5411,000 currently spent. In addition, Oriole is proposing the price decrease (560 to $57) will produce *20crease in sales volume (20,000 to 24.000). Variable costs will remain at 5:36 per pair of shoes Management is impressed with Orole's ideas but concerned about the effects that these changes will have on the break-even point and the margin of safety Your answer is correct Compute the current even point in units, and compare it to the break even point in units Orders are used 1710 pair of shoes awbreak even point 21300 pars of shoes WAWER RM TO POTER Attempt 1 of used (b) x Your answer is incorrect. Try again. Compute the margin of safety ratio for current operations and after Oriole's changes are introduced. (R- Current margin of safety ratio % New margin of safety ratio RRRR %