Watson Company has monthly fixed costs of $82,000 and a 40% contribution margin ratio. If the company has set a target monthly income of $14,900, what dollar amount of sales must be made to produce the target income?

Multiple Choice

• $242,250

• $96,900

• $205,000

• $37,250

• $167,750

  Mason Company manufactures and sells shoelaces for $3.60 per pair. Its variable cost per unit is $3.40. Mason's total fixed costs are $12,100. How many pairs must Mason sell to break even?

  Multiple Choice

• 3,361.

• 3,559.

• 60,500.

• 33,611.

• 35,590.

  Item8

  Item 8

  Item 8

  If a firm's forecasted sales are $252,000 and its break-even sales are $191,000, the margin of safety in dollars is:

  Multiple Choice

• $61,000.

• $252,000.

• $191,000.

• $443,000.

• $24,100.