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Vargas Industries makes a product that has a break-even point of 600 units. If the product has a $5 per unit variable cost and total

Vargas Industries makes a product that has a break-even point of 600 units. If the product has a $5 per unit variable cost and total fixed costs of $9,000 and budgeted sales of 1,000 units, the margin of safety in units is:

a.

400

b.

800

c.

200

d.

600

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