What is the margin of safety ratio

Assignment Help Accounting Basics
Reference no: EM13521312

Define the term "margin of safety." If Stine Company expects to sell 1,250 units of its product at $12 per unit, and break-even sales for the product are $12,000, what is the margin of safety ratio?

Reference no: EM13521312

Questions Cloud

What is the minimum length of a runway : A small airplane needs to reach a speed of 300 km/h to take off. What is the minimum length of a runway in m that can allow the plane to takeoff if it accelerates at the rate of 4.0 m/s2
Determine the contribution margin in dollars : Determine the contribution margin in dollars, per unit and as a ratio and using the contribution margin technique, compute the break-even point in dollars and in units.
How far from initial position on ground will projectile land : A projectile is launches at 45.0o with the horizontal. Its initial speed is 250. m/s. How far from the initial position on the ground will the projectile land
Compute the contribution margin per unit : Compute the contribution margin per unit of limited resource for each product - Contribution margin per unit-Product
What is the margin of safety ratio : Define the term "margin of safety." If Stine Company expects to sell 1,250 units of its product at $12 per unit, and break-even sales for the product are $12,000, what is the margin of safety ratio?
Prepare a cvp income statement through contribution margin : The traditional income statement for Renfro Company shows sales $900,000, cost of goods sold $500,000, and operating expenses $200,000. Assuming all costs and expenses are 70% variable and 30% fixed, prepare a CVP income statement through contrib..
Compute the required sales and target net income : For Turgo Company, variable costs are 60% of sales, and fixed costs are $195,000. Management's net income goal is $75,000. Compute the required sales in dollars needed to achieve management's target net income of $75,000.
Find the classical angular frequency of oscillation : The energy of a particle in the n = 3 excited state of a harmonic oscillator potential is 5.87 eV. What is the classical angular frequency of oscillation of this particle
What speed does the puck have : A 200-g hockey puck is launched up a metal ramp that is inclined at a 30 degree angle. What speed does the puck have when it slides back down to its starting point

Reviews

Write a Review

Accounting Basics Questions & Answers

  Analysis on current accounting for leases

Analysis on current Accounting for Leases, Compare and contrast with U.S. GAAP and IFRS

  Federal estate tax

Gift tax returns were filed reporting these gifts. How much of her estate is subject to federal estate tax after considering the estate tax exemption?

  Considering a capital project

Cannon Company is considering a capital project that will return $100,000 each year for five years. At the company's hurdle rate of 10%, the present value of the annuity is $379,100. If the return on investment in the first year is $37,910, what i..

  Describe the statute of limitations for a tax return

How do you determine the filing date and extended filing date for income tax returns?

  After looking at the description of the members of the

wal-martlocate the 2009 form 10-k for wal-mart in appendix a and consider the following questions1. with respect to

  Advanced management accountingplease include thorough

advanced management accountingplease include thorough explanation and thorough calculations for each answer

  Supposing that the companys 71000 ending goods in process

hemingway inc. applies factory overhead based on direct labor costs. the company incurred the following costs during

  Prepare a list of your top four managerial accounting

Prepare a list of your Top Four Managerial Accounting Concepts. Please explain the concepts. You should write at least three sentences about each concept. Do not just state that you liked the concept or found it interesting. You must EXPLAIN the c..

  What should be the amount of direct materials used

Tierney Construction, Inc. recently lost a portion of its financial records in an office theft. The following accounting information remained in the office files: Direct labor cost incurred during the period amounted to 2.5 times the factory overh..

  Elasticity of good and service

The substitutability of a particular good/service can play havoc on a company's sales. This is formally defined as elasticity of a good/service. The elasticity/substitutability changes for 4 reasons. The 4 reasons are stated below, briefly describ..

  Describe when the petty cash fund should be replenished

Briefly describe when the petty cash fund should be replenished. Because there is cash on hand, is there a need to replenish the fund at year end on December 31? Explain.

  Combined reporting scheme of multistate income taxation

Explain why these states are attracted to the unitary theory and a combined reporting scheme of multistate income taxation.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd