1 Required:Compute the Margin of Safety for the year.Q1Q1Q2Q4YearSales$ 500,000$ 400,000$ 100,000$ 425,000 $ 125,000$ 351,250$300,000$ 1,350,000$ 1,177,500$ 172,500Total cost$270,000$ 156,250Net income30,000$73,750$ (31,250)O None of the other answers are correctO $857,143$243,375O $1,552,500O $492,857

In order to determine the breakeven point, the fixed cost is required to be divided by the…

Required: Compute the Margin of Safety for the year. Q1 Q1 Q2 Q4 Year Sales $ 425,000 $ 125,000 $ 156,250 $ (31,250) 24 300,000 $ 500,000 $ 1,350,000 $ 1,177,500 $ 172,500 Total cost $ 400,000 2$ $ 270,000 $ 351,250 Net income 2$ 30,000 $ 100,000 73,750 O None of the other answers are correct O $857,143 O $243,375 O $1,552,500 O $492,857

Required: Compute the Margin of Safety for the year. Q1 Q1 Q2 Q4 Year Sales $ 425,000 $ 125,000 $ 156,250 $ (31,250) 24 300,000 $ 500,000 $ 1,350,000 $ 1,177,500 $ 172,500 Total cost $ 400,000 2$ $ 270,000 $ 351,250 Net income 2$ 30,000 $ 100,000 73,750 O None of the other answers are correct O $857,143 O $243,375 O $1,552,500 O $492,857

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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