Solved: Unit sales price 300 unit variable costs 180 total fixed, Accounting Basics

Unit sales price 300 unit variable costs 180 total fixed

Question - Boston Company is considering the production and sale of a new product with the following sales and cost data: Unit sales price, $300; unit variable costs, $180; total fixed costs, $270,000; and projected sales, $900,000. What is the margin of safety (show your calculations):

a. In dollar sales?

b. As a percent of sales?

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Accounting Basics: Unit sales price 300 unit variable costs 180 total fixed

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Accounting Basics: Unit sales price 300 unit variable costs 180 total fixed

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