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Fanning Company makes and sells products with variable costs of $24 each....

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Accounting

Fanning Company makes and sells products with variable costs of $24 each. Fanning incurs annual fixed costs of $378,000. The current sales price is $87.
Note: The requirements of this question are interdependent. For example, the $252,000 desired profit introduced in Requirement c also applies to subsequent requirements. Likewise, the $80 sales price introduced in Requirement d applies to the subsequent requirements.
Required
g. Assume that Fanning concludes that it can sell 10,000 units of product for $80 each. Recall that variable costs are $30 each and fixed costs are $294,000. Compute the margin of safety in units and dollars and as a percentage.

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