The lecture assumed the following situation for Magnificent shoe Corporation: This produced an ROE of 26%. I What happens if Magnificent Shoe Corp manufactures and sells 10% more shoes-110 pairs? Calculate revenue, cost, profit and ROE. What is the percentage change in revenue and what is the percentage change in profit? II Instead of a 10% increase in quantity of shoes sold, as in question I. now analyze a 10% increase in price per pair sold (the number of pairs sold is unchanged at 100). Do the same calculations as in I. Which is better-an increase in sates a' the same percentage increase in price? Why? III Now instead assume the company raised its shoe prices by 5% and, as a result, it sold 5% fewer shoes than the original lecture situation. Do all the calculations. IV Instead of the original S550 rent, assume it is $750. What is profit when, as in the lecture. 100 pairs of shoes are sold, and what is the percentage increase in profit if 110 pairs are sold? Compare this answer to your results in question I under the original rent amount when sales increased 10%