Answer 1 of 1 Answer: A) Breakeven Sales (in units) = Fixed Costs/ Contribution Margin per unit Fixed Costs = $700 (Given) Selling Price per unit = $10 (Given) Variable Cost per unit = $3 (Given) Contribution Margin per unit = Selling Price per unit - Variable Cost per unit = $10 - $3 = $7 Therefore, Breakeven Sales (in units) = $700 / $7 = 100 Hence, Breakeven Sales = 100 units. B) Margin of Safety in units = Actual Units Sold - Breakeven Sales Units Actual Units Sold = 150 (Given) Breakeven Sales Units = 100 (calculated above in A) Therefore, Margin of Safety in Units = 150 - 100 = 50 Hence, Margin of Safety = 50 units If you find this answer helpful, please give a thumbs up. Answer 1 of 1 Answer: A) Breakeven Sales (in units) = Fixed Costs/ Contribution Margin per unit Fixed Costs = $700 (Given) Selling Price per unit = $10 (Given) Variable Cost per unit = $3 (Given) Contribution Margin per unit = Selling Price per unit - Variable Cost per unit = $10 - $3 = $7 Therefore, Breakeven Sales (in units) = $700 / $7 = 100 Hence, Breakeven Sales = 100 units. B) Margin of Safety in units = Actual Units Sold - Breakeven Sales Units Actual Units Sold = 150 (Given) Breakeven Sales Units = 100 (calculated above in A) Therefore, Margin of Safety in Units = 150 - 100 = 50 Hence, Margin of Safety = 50 units If you find this answer helpful, please give a thumbs up