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W WWW Question 3 of 4 > - / 16 Cullumber Willis is the advertising manager for Bargain Shoe Store She is currently working on

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W WWW Question 3 of 4 > - / 16 Cullumber Willis is the advertising manager for Bargain Shoe Store She is currently working on a major promotional campaign. Her ideas include the installation of a new lighting system and increased display space that will add $97,900 in foed costs to the $345.600 currently spent. In addition Cullumber is proposing that a 5% price decrease ($40 to $38) will produce a 25% increase in sales volume 25.000 to 32.000). Variable costs will remain at $25 per pair of shoes. Management is impressed with Oulumber's ideas but concerned about the effects that these changes will have on the break-even point and the margin of safety. (al Compute the current break even point in units, and compare it to the break even point in units i Cullumber's ideas are used. Dars of shoes Current break-even point New break even point Dars of shoes e Textbook and Media Attempts of Sused Subs Attempts of used Subro (b) Compute the margin of safety ratio for current operations and after allumber's changes are introduced (Round answers to decimal places, s 15% Current margin of safety ratio % New margin of safety ratio eTextbook and Media Attempts: 0 of 5 used SA v Question 3 of 4 -/16 id Prepare a CVP income statement for current operations and after Cullumber's changes are introduced BARGAIN SHOE STORE CVP Income Statement Current New Would you make the changed

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