What is the margin of safety as a percent of sales
Salsa company has fixed costs of $36,000 and a contribution margin ration of 24%. If expected sales are $200,000 , what is the margin of safety as a percent of sales?
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Weather Aerodynamics, Inc., makes electronically equipped weather-detecting balloons for university meteorology departments. Because of recent nationwide inflation, the company's management has ordered that standard costs be recomputed.
A store has budgeted sales of 12,000 men's suits in September. Management wants to have 6,000 suits in inventory at the end of the month to prepare fo rthe winter season.
The new unit has a larger capacity and Bravo estimates it can produce and sell an more bread each year. From these additional sales the after tax cash flow is expected to be $4,000.
During its most recent fiscal year, Pacific Stores sold 200,000 electric screwdrivers at a price of $15 each. Fixed costs amounted to $400,000 and pretax income was $600,000.
Salsa company has fixed costs of $36,000 and a contribution margin ration of 24%. If expected sales are $200,000 what is the margin of safety as a percent of sales?
Pahl Corporation owns a 60% interest in Sauer Corporation, acquired at book value equal to fair value at the beginning of 20X1. On December 20, 20X1 Sauer declares dividends of $80,000.
The C.M. Landscaping Co. uses chicken manure to fortify the soil around trees bearing rare fruit. The price standard used is $3.50 per 10 pound sack of chicken manure.
Upton Co. was started on 1-1-2011, when the owners invested $160,000 cash in the business. During 2011, the company earned cash revenues of 120,000 and incurred cash expenses of $82,000. The company also paid cash distributions of $15,000.
Fran traveled to San Francisco during the year to do volunteer work for one week for the Salvation Army. She normally receives $1,500 salary per week at her job and is planning to deduct the $1,500 as a charitable contribution.
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