What is the margin of safety percentage

Assignment Help Accounting Basics

Reference no: EM131933356

Problem

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 $ 40,000 Variable expenses 26,000 Contribution margin 14,000 Fixed expenses 8,680 Net operating income $ 5,320 11. What is the margin of safety in dollars? What is the margin of safety percentage?

Reference no: EM131933356

Questions Cloud

What final payment will the bank require : You have a loan outstanding. It requires making eight annual payments of $1,000 each at the end of the next eight years.

Determine the amount of overapplied manufacturing overhead : Osborn Manufacturing uses a predetermined overhead rate of $18.80. Determine the amount of underapplied or overapplied manufacturing overhead for the period.

How much external financing will the firm have to seek : How much external financing will the firm have to seek? Assume there is no increase in liabilities other than that which will occur with the external financing.

Comparing leadership theory : Comparing Leadership Theory: Identify two theories and discuss how each theory would have practical implication for you as a current or future manager.

What is the margin of safety percentage : Oslo Company prepared the following contribution format income statement. What is the margin of safety in dollars? What is the margin of safety percentage?

Emotional intelligence applies to leadership : Suggest two (2) actions that a manager could exhibit in order to convince employees that he or she has emotional intelligence.

Should the company purchase the machine : Apax Company is evaluating the acquisition of a new milling machine. The machine's base price is $180,000, and it would cost another $15,000 to install.

What tax basis does oscar have in felix partnership interest : Eastside's income statement for the current year reflects the revenues. What tax basis does Oscar have in his partnership interests at the end of the year?

What are the likely uses of capital from those sources : When Marriott says its sources of capital are retained earnings and leverage, what is Marriott talking

User Account

All Pages