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Calculate the margin of safety in dollars

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Reference no: EM13938287

Rhetorix, Inc. produces stereo speakers. The selling price per pair of speakers is $900.The variable cost of production is $300 and the fixed cost per month is $60,000.For November, the company expects to sell 130 pairs of speakers.

Required:

a. Calculate expected profit.

b. Calculate the margin of safety in dollars. (Round to the nearest dollar.)

Reference no: EM13938287

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