Stereo Stereo Inc. (SSI) has manufactures only one model of Stereo, the Jack. It is known for its high class audio quality and surprising light weight! It comes in red, green, and purple. It is a very good product and was recently endorsed by Madonna.

This year, SSI expects to make and sell 18,600 Jacks. It is expected to be a very good year due to the latest fad of people listening to music at home, instead of attending concerts. Fixed administrative costs are expected to total $528,000 and fixed manufacturing costs are expected to total $325,000. Financial information relating to the product for this year is provided below.

Financial details per unit:

Selling price	$454
Variable selling cost	35
Variable overhead cost	38
Direct labour cost	87
Direct material cost	199

Required: Calculate SSIs expected margin of safety in units for this year.

Rounding Rules: For units, round up to the next whole unit.

Examples:

If your answer is 11,248.4689 units, enter 11249 with no ,

If your answer is 11,248.5175 units, enter 11249 with no ,

If your answer is 11,248.0010 units, enter 11249 with no ,

Your Answer: