Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Henderson Company has fixed costs of $21,000 and a contribution margin ratio of 30%. If expected sales are $100,000, what is the margin of safety

image text in transcribed
Henderson Company has fixed costs of $21,000 and a contribution margin ratio of 30\%. If expected sales are $100,000, what is the margin of safety as a percent of sales? 40% 30%. 7% 43% 70%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions