Company X's actual sales are $400,000. The company has a margin of safety of $12,500. If the contribution margin ratio was 25%, what is Company X's fixed costs ($) O a. None of the given answers Ob. 96,875 O. 112,500 Od. 100,000 Oe. 87,500
Company X's actual sales are $400,000. The company has a margin of safety of $12,500. If the contribution margin ratio was 25%, what is Company X's fixed costs ($) O a. None of the given answers Ob. 96,875 O. 112,500 Od. 100,000 Oe. 87,500
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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![Company X's actual sales are $400,000. The company has a margin of safety of $12,500. If the contribution margin ratio was 25%,
what is Company X's fixed costs ($)
O a. None of the given answers
Оь. 96,875
O. 112,500
Od. 100,000
O e. 87,500](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F9120329c-975f-48e5-a296-b299bc153b6a%2F85e932ca-4a09-42bf-a507-31c686a9ef05%2Fm6lhpf_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Company X's actual sales are $400,000. The company has a margin of safety of $12,500. If the contribution margin ratio was 25%,
what is Company X's fixed costs ($)
O a. None of the given answers
Оь. 96,875
O. 112,500
Od. 100,000
O e. 87,500
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