Compute the company margin of safety

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Reference no: EM131262262

Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month’s budget appear below: Selling price $27 per unit Variable expenses $14 per unit Fixed expenses $11,050 per month Unit sales 1,000 units per month.

Required:

1-Compute the company’s margin of safety.

2-compute the company’s margin of safety as a percentage of its sales.

Reference no: EM131262262

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