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Determine what is the margin of safety percentage

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Reference no: EM132577627

Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units):

Sales$80,000

Variable expenses 52,000

Contribution margin 28,000

Fixed expenses 21,840

Net operating income$6,160

Question 1: What is the margin of safety in dollars?

Question 2: What is the margin of safety percentage?

Reference no: EM132577627

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