The following information relates to the only product sold by Mastrolia Manufacturing:

Sales price per unit $ $120$

Variable cost per unit $72$

Fixed costs per year $770,000$

Required:

a$.$ Compute the contribution margin ratio and the dollar sales volume required to break even.

b$.$ Assuming that the company sells $30,000$ units during the current year, compute the margin of safety $($in dollars$).$