XYZ Inc. sells a single product for $30 per unit. Variable production costs are $18 per unit. Fixed overhead costs amount $20,000 per month. Variable selling costs are $3 per unit. Fixed selling costs are $4,000 per month. Last month, the company produced and sold 12,000 units. What is the companys margin of safety?

Multiple Choice

• $280,000

• $20,000

• $160,000

• $100,000