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Mohan Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month's budget appear below: Selling price $25per unit

Mohan Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month's budget appear below:

Selling price $25per unit

Variable expense $15per unit

Fixed expense $8,500per month

Unit sales 1,000units per month

Required:1.Compute the company's margin of safety.

_______________

2.Compute the company's margin of safety as a percentage of its sales.

________________

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