Mylo

1) Sir this is a past Acca exam question:

Mylo is now considering investing in a specialty coffee machine. He has estimated
the following daily results for the new machine:
$
Sales (650 units) 1,300
Variable costs (845)
–––––
Contribution 455
Incremental fixed costs (70)
–––––
Profit 385
–––––
Which of the following statements are true regarding the sensitivity of this
investment?
(1) The investment is more sensitive to a change in sales volume than sales price.
(2) If variable costs increase by 44% the investment will make a loss.
(3) The investment’s sensitivity to incremental fixed costs is 550%.
(4) The margin of safety is 84.6%.
A (1), (2) and (3)
B (2) and (4)
C (1), (3) and (4)
D (3) and (4)

Sir here I have understood the answer D. But Sir I want to ask that why statement 1 is not true?

2) Secondly Sir instead of doing past Acca exam questions (theoretical and computational) from Acca website , its more better to do past Acca exam questions from both Kaplan kit and Bpp kit (latest editions) na , right?