Margin of Safety a. If Armstrong Company, with a break-even point at $660,000 of sales, has actual sales of $880,000, what is the margin of safety expressed (1) in dollars and (2) as a percentage of sales? Round the percentage to the nearest whole number. 1. $ 2. % b. If the margin of safety for Lankau Company was 25%, fixed costs were $2,325,000, and variable costs were 60% of sales, what was the amount of actual sales (dollars)? (Hint: Determine the break-even in sales dollars first.)