Jakarta Company is a service firm with current service revenue of $400,000 and a 40% contribution margin. Its fixed costs are $64,000. Maldives Company has current sales of $6,630,000 and a 50% contribution margin. Its fixed costs are $1.989,000. A. What is the margin of safety for Jakarta and Maldives? If required, round final answers to one decimal place. Margin of safety for Jakarta: Margin of safety for Maldives: B. Compare the margin of safety in dollars between the two companies. Which is stronger? a. Maldives is stronger because its margin of safety is $2,652,000 whereas Jakarta's is $240,000. b. Maldives is stronger because its margin of safety is $240,000 whereas Jakarta's is $2,652,000. Jakarta is stronger because its margin of safety is $2,652,000 whereas Maldives's is $240,000. c. d. Jakarta is stronger because its margin of safety is $240,000 whereas Maldives's is $2,652,000. C. Compare the margin of safety in percentage between the two companies. Now, which one is stronger? a. Maldives is stronger because its % margin of safety is 40.0% whereas Jakarta's is 60% b. Maldives is stronger because its % margin of safety is 50% whereas Jakarta's is 40.0 % c. Jakarta is stronger because its % margin of safety is 40.0% whereas Maldives's is 60%. d. Jakarta is stronger because its % margin of safety is 60% whereas Maldives's is 40.0%. D. Compute the degree of operating leverage for both companies. If required, round final answers to two decimal places. Operating leverage Jakarta Maldives Previous Next >