The budgeted income statement presented belowis for Burkett Corp. for the coming fiscal year.  If Burkett is able to achieve the budgeted level of sales, its margin of safety in dollars would be  ? Sales (50,000 units)                                                                       $1,000,000 Costs:    Direct materials                                         $270,000    Direct labor                                                  240,000    Fixed Factory Overhead                               100,000    Variable factory overhead                            150,000    Fixed marketing costs                                  110,000    Variable marketing costs                                50,000                910,000 Pretax income                                                                             $  80,000

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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The budgeted income statement presented belowis for Burkett Corp. for the coming fiscal year.  If Burkett is able to achieve the budgeted level of sales, its margin of safety in dollars would be  ?

Sales (50,000 units)                                                                       $1,000,000

Costs:

   Direct materials                                         $270,000

   Direct labor                                                  240,000

   Fixed Factory Overhead                               100,000

   Variable factory overhead                            150,000

   Fixed marketing costs                                  110,000

   Variable marketing costs                                50,000                910,000

Pretax income                                                                             $  80,000   

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