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Margin of Safety Yellow Sticker Company's variable expenses are 4 0 % of sales. The company has monthly fixed expenses of $ 1 5 ,
Margin of Safety
Yellow Sticker Company's variable expenses are of sales. The company has monthly fixed expenses of $ and sells each unit for $ The monthly target operating income is $
a What is the monthly margin of safety in dollars if Yellow Sticker Company achieves its operating income goal?
in dollars
b What is the monthly margin of safety in units if Yellow Sticker Company achieves its operating income goal? units
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