Victoria company reports the following operating results for the month of april.

victoria company
cvp income statement
for the month ended april 30, 2020
total
per unit
sales (9,000 units) $450,000 $50
variable costs 270,000 30.00
contribution margin 180,000 $20.00
fixed expenses 150,000
net income $30,000

management is considering the following course of action to increase net income: reduce the selling price by 4%, 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
break-even point $
margin of safety $

(b1) assuming changes to sales price and volume as described above.

break-even point
break-even point $
margin of safety $