Homework: Chapter 3 Save Score: 10.42 of 25 pts 3 of 4 (3 complete) HW Score: 60.42%, 60.42 of 100 pts P3-40 (algo) 3 Question Help Launch - its prepares marketing plans for growing businesses. For 2017, budgeted revenues are $800,000 based on 400 marketing plans at an average rate per plan of $2,000. The company would like to achieve a margin of safety percentage of at least 30%. The company's current fixed costs are $150,000 and variable costs average $1,500 per marketing plan. Read the requirements. Requirement 1. Calculate Launch - its' breakeven point and margin of safety in units. First, determine the formula used to calculate the breakeven point in units, then calculate the number of marketing plans that must be sold to break even. Fixed costs = 1 Contribution margin per unit / $ 500 Breakeven number of units 300 $ 150,000 Now, determine the formula used to calculate the margin of safety in units, then calculate the result. Budgeted sales quantity 400 Breakeven quantity 300 Margin of safety in units 100 Requirement 2. Which of the following changes would help Launch - its achieve its desired margin of safety? a. Average revenue per customer increases to $2,700; b. Planned number of marketing plans prepared increases by 5%; c. Launch - its purchases new software that results in a 5% increase to fixed costs but reduces variable costs by 10% per marketing plan. (Round all margin of safety percentages to the nearest whole percent, X.X%. Round breakeven units up to the next whole unit.) First, calculate the current margin of safety percentage. Margin of safety in dollars Budgeted revenues = Margin of safety percentage % Score: 10.42 of 25 pts 3 of 4 (3 complete) HW Score: 60.42%, 60.42 of 100 pts P3-40 (algo) Question Help Launch - its prepares marketing plans for growing businesses. For 2017, budgeted revenues are $800,000 based on 400 marketing plans at an average rate per plan of $2,000. The company would like to achieve a margin of safety percentage of at least 30%. The company.'s current fixed costs are $150,000 and variable costs average $1,500 per marketing plan. Read the requirements. Requirement 1. Calculate Launch- Requirements First, determine the formula used to be sold to break even. Fixed costs $ 150,000 Now, determine the formula used to Budgeted sales quantity 400 (Consider each of the following separately.) 1. Calculate Launch - its' breakeven point and margin of safety in units. 2. Which of the following changes would help Launch - its achieve its desired margin of safety? The average revenue per customer increases to $2,700. b. The planned number of marketing plans prepared increases by 5%. c. Launch - its purchases new software that results in a 5% increase to fixed costs but reduces variable costs by 10% per marketing plan. a. Requirement 2. Which of the followir Planned number of marketing plans costs by 10% per marketing plan. (R! per customer increases to $2,700; b. se to fixed costs but reduces variable units up to the next whole unit.) First, calculate the current margin of Print Done Margin of safety in dollars Orrego % Choose from any list or enter any number in the input fields and then click Check Answer. parts remaining Clear All Check