Problem 11 4 (Part Level Submission) Mary W is is the advertising manager for Blue Spruce Shoe Store. She is currently working on a major promotional campaign. Her ideas include the installation of a new ghting system and increased display space that will add $51.000 in fixed costs to the $11,000 currently spent. In addition, Mary is proposing that a price decrease (560 to $57) will produce a 20% increase in sales volume (20,000 to 24,000). Varatecosts will remain 36 per pair of shoes, Management is impressed with Mary's ideas but concerned about the effects that these changes will have on the break-even point and the margin of safety Your answer is correct. Mary's Compute the current break even point in uns, and compare it to the break even point in are used (Round answers to decimal places 1.225.) Current break-even point New break-even point T 17.125 pairs of shoes 2 2000 pairs of shoes Compute the margin of safety ratio for current operations and after Mary's changes are introduced. (Round answers to decimal places, ..159.) Current margin of safety ratio New margin of lety ratio (c) Prepare a CVP income statement for current operations and after Mary's changes are introduced. BLUE SPRUCE SHOE STORE CVP Income Statement Current New Would you make the changes suggested