Finding the margin of safety
Question:
Black Company"s sales are $600,000, its fixed expenses are $150,000, and its variable expenses are 60% of sales. Based on this information, the margin of safety is:
A) $90,000B) $190,000C) $225,000D) $240,000
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Fixed expenses are $150,000, and its variable expenses are 60% of sales. Based on this information, the margin of safety is:
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