The sales and cost data for two companies in the transportation industry are as follows:

	X Company		Y Company
	Amount	Percent	Amount	Percent
Sales	$ 144,000	100.00	$ 144,000	100.00
Variable costs	86,400	60.00	43,200	30.00
Contribution margin	57,600	40.00	100,800	70.00
Fixed costs	34,050		70,050
Operating income (B)	$ 23,550		$ 30,750

X Company's margin of safety ratio (MOS%) (rounded) is:

Multiple Choice

• -23.58%.

• 30.18%.

• 39.51%.

• 63.39%.

• 40.89%.