Majid Corporation sells a product for $145 per unit. The product's current sales are 41,300 units and its break-even sales are 32,625 units.What is the margin of safety in dollars?Multiple Choice$3,736,965$5,988,500$4,730,625$1,257,875

Margin of safety measures the excess of the current sales to the break-even sales. It is calculated…

Answered: Majid Corporation sells a product for…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 7EB: Delta Co. sells a product for $150 per unit. The variable cost per unit is $90 and fixed costs are...

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Majid Corporation sells a product for $145 per unit. The product's current sales are 41,300 units and its break-even sales are 32,625 units. What is the margin of safety in dollars? Multiple Choice $3,736,965 $5,988,500 $4,730,625 $1,257,875