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QS 18-11 Margin of safety LO P2 Zhao Co. has fixed costs of $245,000. Its single product sells for $155 per unit, and variable costs

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QS 18-11 Margin of safety LO P2 Zhao Co. has fixed costs of $245,000. Its single product sells for $155 per unit, and variable costs are $106 per unit. If the company expects sales of 10,000 units, compute its margin of safety in dollars and as a percent of expected sales. Dollars Percent Margin of safety %

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