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ABC Inc. manufactures and sells toys. Price and cost data are as follows: $27.00 Selling price per unit (package of 2 CDs)....... Variable costs per

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ABC Inc. manufactures and sells toys. Price and cost data are as follows: $27.00 Selling price per unit (package of 2 CDs)....... Variable costs per unit: Direct material... Direct labor.... Artist's royalties... Manufacturing overhead.. Selling expenses. Total variable costs per unit............ Annual fixed costs: Manufacturing overhead.. Selling and administrative... Total fixed costs......... Forecasted annual sales volume (120,000 units). $5.50 . $6.00 $5.00 $3.50 $2.50 $22.50 $192,000 $276,000 $468,000 $3,240,000 What is the firm's margin of safety? Select one: a. 738,400 b. 750,000 c. 114,286 d. 432,000

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