The budgeted income statement presented below is for Burkett Corporation for the coming fiscal year.

If Burkett Corporation achieves the budgeted level of sales,

What will its margin of safety in dollars?

Sales (50,000 units) 1,000,00

Costs:

Direct materials 270,000

Direct labor 240,000

Fixed factory overhead 100,000

Variable factory overhead 150,000

Fixed marketing cost 50,000