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Qui Sales price per unit: (current monthly sales volume is 120,000 units)... $ 20.00 stion list othe Variable costs per unit: Direct materials... 7.40
Qui Sales price per unit: (current monthly sales volume is 120,000 units)... $ 20.00 stion list othe Variable costs per unit: Direct materials... 7.40 Rea Direct labor.. $ 5.00 Question 1. Variable manufacturing overhead... $ 2.20 Variable selling and administrative expenses.. $ 1.40 Question 2 Red per Monthly fixed expenses: Fixed manufacturing overhead. $ 191,400 The Fixed selling and administrative expenses. $ 276,600 Question 3 Red per Question 4 Bec Requirements Print Done increase? 9. What is the company's current margin of safety in sales dollars? What is its margin of safety as a percentage of sales? 10. Say the company adds a second size of SD card (512GB in addition to 256GB). A 512GB SD card will sell for $45 and have variable cost per unit of $20 per unit. The expected sales mix is three of the 256GB SD cards for every one of the 512GB SD cards. Given this sales mix, how many of each type of SD card will the company need to sell to reach its target monthly profit of $260,000? Is this volume higher or lower than previously needed (in Question 5) to achieve the same target profit? Why? Margin of safety percentage
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