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James Company has a margin of safety percentage of 2 0 % based on its actual sales. The break - even point is $ 2

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James Company has a margin of safety percentage of 20% based on its actual sales. The
break-even point is $200,000 and the variable expenses are 45% of sales. Given this information,
the actual profit is:
A. $27,500
B. $18,000
C. $22,500
D. $22,000
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