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Stylo Company produces a single product.Their most recent data is shown below: Current Units sold 1 450 Sales price per unit $ 100 Variable cost

Stylo Company produces a single product.Their most recent data is shown below:

Current

Units sold 1 450

Sales price per unit $ 100

Variable cost per unit $ 50

Fixed costs $20 500

a. Calculate the current breakeven pointin units and dollars.

b. Calculate contribution margin income statement showing the company's profitability performance.

c. They have recently received the result of a market survey that indicates that they can increase the retail price of their product by 10% without losing customers or market share. The company can also source a cheaper raw material, decreasing the unit raw material cost by 8%. Demonstrate how these changes will benefit the company.

d. What is the margin of safety in dollars, assuming projected sales are based on the new retail price.

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