Question
Embleton Company estimates that variable costs will be 80% of sales, and fixed costs will total $384,000. The selling price of the product is $6.
Embleton Company estimates that variable costs will be 80% of sales, and fixed costs will total $384,000. The selling price of the product is $6.
Assuming actual sales are $2,560,000, calculate the margin of safety in dollars and as a ratio.
| Margin of safety | $ | ||
| Margin of safety ratio | % |
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Financial Accounting Fundamentals With Connect Plus
Authors: John Wild
4th Edition
77785932, 978-0077785932
