Echo Corporation has provided the following data concerning its onlyproduct:Selling priceCurrent salesBreak-even salesO 61%O 28%O 72%$ 200The margin of safety as a percentage of sales is closest to:O 39%per unit30,300 units21,816 units

Margin of safety sales is the excess of total sales over the Break even sales. Margin of safety…

Echo Corporation has provided the following data concerning its only product: Selling price Current sales Break-even sales O 61% O 28% O 72% $ 200 O 39% 30,300 The margin of safety as a percentage of sales is closest to: per unit units 21,816 units

Echo Corporation has provided the following data concerning its only product: Selling price Current sales Break-even sales O 61% O 28% O 72% $ 200 O 39% 30,300 The margin of safety as a percentage of sales is closest to: per unit units 21,816 units

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Echo Corporation has provided the following data concerning its only
product:
Selling price
Current sales
Break-even sales
O 61%
O 28%
O 72%
$ 200
The margin of safety as a percentage of sales is closest to:
O 39%
per unit
30,300 units
21,816 units

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