VICTORIA COMPANY CVP Income Statement For the Month Ended April 30, 2020 Total Per Unit $53 27.03 Sales (9,000 units) Variable costs Contribution margin Fixed expenses Net income $477,000 243,270 233,730 202,566 $31,164 $25.97 Management is considering the following course of action to increase net income: Reduce the selling price by 7%, with no changes to unit variable costs or fixed costs. Management is confident that this change will increase unit sales by 20%. Using the contribution margin technique, compute the break-even point in units and dollars and margin of safety in dollars: (Round intermediate calculations to 4 decimal places 09. 0.2522 and final answer to 0 decimal places, 0.9. 2,510.) (a) Assuming no changes to selling price or costs. Break-even point 7800 units Break-even point Margin of safety 27.03 Variable costs Contribution margin Fixed expenses Net income 243,270 233,730 202,566 $31,164 $25.97 Management is considering the following course of action to increase net income: Reduce the selling price by 7%, with no changes to unit variable costs or fixed costs. Management is confident that this change will increase unit sales by 20%. Using the contribution margin technique, compute the break-even point in units and dollars and margin of safety in dollars: (Round intermediate calculations to 4 decimal places e.g. 0.2522 and final answer to 0 decimal places, e.g. 2,510.) (a) Assuming no changes to selling price or costs. Break-even point 7800 units Break-even point ...... Margin of safety (61) Assuming changes to sales price and volume as described above. Break-even point 9100 units Break-even point ...... Margin of safety