Question
Our company sells its product for $80 per unit and has a variable cost of $40 per unit. Total fixed costs equal $18,000. The breakeven
Our company sells its product for $80 per unit and has a variable cost of $40 per unit. Total fixed costs equal $18,000. The breakeven in units is 450, and we expect to sell 550 units. What is the margin of safety in dollars?
($8,000)
$4,000
($4,000)
$8,000
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Wiley Federal Government Auditing Laws Regulations Standards Practices And Sarbanes Oxley
Authors: Cornelius E. Tierney, Edward F. Kearney, Roldan Fernandez, Jeffrey W. Green, Kearney & Company
1st Edition
0471740489, 978-0471740483
