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Mississippi company produces and sells one product its

Mississippi Company produces and sells one product. Its sales and expenses for last month were:

Total Per Unit

Sales $17,600 $16.00

Variable costs 11,000 11.00

Contribution Margin 6,600 6.60

Fixed costs 6,000

Profit 600

Compute Mississippi Company’s margin of safety in dollars and as a percentage of sales.

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Operation Management: Mississippi company produces and sells one product its

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