o margin of safety in das? de Meadhones hechones for 570 each. Unit variable expenses total...

Question

Question

Answer 1

Answer #1

Answer :- Calculation of Margin of Safety in dollars :-

Margin of Safety in dollars = (Budgeted sales - Break even sales)* Selling price

Margin of Safety in dollars = (4,160 - 1,500) * $70

Margin of Safety in dollars = $186,200

So the correct answer is option A. ( $186,200)

If you have any query feel free to ask in comment section. Thanks

Answer 2

Similar Homework Help Questions

Moe's Puza Shop sebe a large pizza for 51300 Unit variable expenses total $300. The breakevensalos...

Moe's Puza Shop sebe a large pizza for 51300 Unit variable expenses total $300. The breakevensalos in units is 6,000 and budgeted sales in units is 9500 What is the margin of safety in dollars? O A 5269 OB. 5201.500 OC. $45,500 OD. 53500
how do I solve this Moe's Pizza Shop sells a large pizza for $13.50 Unit variable...

how do I solve this Moe's Pizza Shop sells a large pizza for $13.50 Unit variable expenses total $3.00. The breakeven sales in units is 7.000 and budgeted sales in units is 9,500. What is the margin of safety in dollars? O A. $185 OB. $33,750 OC. $2,500 OD. $222.750
17. Compute the margin of safety (total sales – breakeven sales) using the following data: selling...

17. Compute the margin of safety (total sales – breakeven sales) using the following data: selling price $35 per unit variable cost $25 per unit fixed expenses $8,000 per month Total unit sales 2,500 units per month

Moe's Pizza Shop sols a large pleza for $12.50 Unt valable expenses total $5.50. The breakeven...

Moe's Pizza Shop sols a large pleza for $12.50 Unt valable expenses total $5.50. The breakeven sales in units is 2.000 and budgeted sales in units is 9 500 What is the margin of safety in dollars? OA 5103.750 OBO OC: 593,750 OD. 57.500
If total fixed costs are $360,000, the contribution margin per unit is $20, and targeted operating income is $27,000, how many units must be sold to breakeven? OA. 18,000 OB. 540,000 O C. 7.200,000 D...

If total fixed costs are $360,000, the contribution margin per unit is $20, and targeted operating income is $27,000, how many units must be sold to breakeven? OA. 18,000 OB. 540,000 O C. 7.200,000 D. 19,350 If total fixed costs are $360,000, the contribution margin per unit is $20, and targeted operating income is $27,000, how many units must be sold to breakeven? OA. 18,000 OB. 540,000 O C. 7.200,000 D. 19,350
Awanita Enterprises sells computer flash drives for $3.16 per unit. Unit variable cost is $0.06. The...

Awanita Enterprises sells computer flash drives for $3.16 per unit. Unit variable cost is $0.06. The breakeven point in units is 3,600, and expected sales in units are 4,300. What is the margin of safety in dollars? OA. $11,376 O B. $2,170 O C. $2.212 O D. $42

If the selling price per unit is $80, the variable expense per unit is $20, and...

If the selling price per unit is $80, the variable expense per unit is $20, and total fixed expenses are $230,000, what are the breakeven sales in dollars? O A. $306,667 OB. $920,000 O C. $184,000 OD. $172,500
Poplar Mills Incorporated desires an operating income of $67,000. Its variable expenses are $21,000 and its total f...

Poplar Mills Incorporated desires an operating income of $67,000. Its variable expenses are $21,000 and its total fixed expenses have increased from $45,000 to $56,000. Its unit contribution margin is $15. Its sales in units to achieve the target profit is O A. 6,800 OB. 733 O C. 9,600. OD. 8,200.
Break Even Units, Contribution Margin Ratio, Multiple Product Breakeven, Margin of Safety, Degree of Operating Leverage...

Break Even Units, Contribution Margin Ratio, Multiple Product Breakeven, Margin of Safety, Degree of Operating Leverage Jellico Inc.'s projected operating income (based on sales of 450,000 units) for the coming year is as follows: Total Sales $9,000,000 Total variable cost 6,030,000 Contribution margin $ 2,970,000 Total fixed cost 1.898,820 Operating income $ 1,071,180 Required: 1(a). Compute variable cost per unit. Enter your answer to the nearest cent. S per unit 1(b), Compute contribution margin per unit. Enter your answer to...

Richland Enterprises has budgeted the following amounts for its next fiscal year: Total fixed expenses $47,000...

Richland Enterprises has budgeted the following amounts for its next fiscal year: Total fixed expenses $47,000 Selling price per unit $65 Variable expenses per unit $40 If Richland Enterprises can reduce fixed expenses by $12,825, how will breakeven sales in units be affected? O A. Decrease by 513 units OB. Decrease by 122 units O C. Increase by 513 units OD. Increase by 122 units