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Berha's Cellular sells phones for $ 1 0 0 . The unit variable cost per phone is $ 5 0 plus a selling commission of

Berha's Cellular sells phones for $100. The unit variable cost per phone is $50 plus a selling commission of 10%. Fixed manufacturing costs total $1,250 per month, while fixed selling and administrative costs total $2,500. Berha's expects sales of $11,000 during next year. How much is the margin of safety estimated for next year.
Select one:
a. $1,625
b. $3,500
c. $2,667
d. $4,750
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