3) Which of the following statements is false with respect to margin of safety?

A) Total budgeted (or actual) sales minus sales at break-even point equals margin of safety in dollars.

B) The margin of safety in dollars divided by the total budgeted (or actual) sales in dollars equals the margin of safety percentage.

C) In a single product company, the margin of safety in dollars divided by the variable cost per unit equals the margin of safety in units.

D) The higher the margin of safety, the lower the risk of not breaking even an incurring a loss.