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2 Exercise 5-8 (Algo) Compute the Margin of Safety (LO5-7) Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning
2 Exercise 5-8 (Algo) Compute the Margin of Safety (LO5-7) Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month's budget appear below 2 pots selling price per unit Variable expense per unit Fixed expense per month Unit walos personth 6 25 10 $ 5,500 Reference Required: 1. What is the company's margin of safety? (Do not round Intermediate calculations.) 2. What is the company's morgin of safety as a percentage of its solos? (Round your percentage answer to 2 decimal places (ie. 1234 should be entered as 12.34).) 1. Margin of safety in dollars) 2 Margin of safety percentage Exercise 5-8 (Algo) Compute the Margin of Safety [LO5-7) Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month's budget appear below: Selling price per unit Variable expense per unit Fixed expense per month Unit sales per month 25 S 18 $ 5,880 990 Required: 1. What is the company's margin of safety? (Do not round intermediate calculations.) 2. What is the company's margin of safety as a percentage of its sales? (Round your percentage answer to 2 decimal places ile. 1234 should be entered as 12.34).) % 1. Margin of safety (in dollars) 2. Margin of safety percentage
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