At a price of P12 the estimated monthly sales of a product is 10,000 units. Variable costs are P7 per unit. Fixed costs are P24,000 per month. How much is the margin of safety? a. P24,000 b. P67,600 c. P120,000

At a price of P12 the estimated monthly sales of a product is 10,000 units. Variable costs are P7 per unit. Fixed costs are P24,000 per month. How much is the margin of safety? a. P24,000 b. P67,600 c. P120,000

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter3: Cost Behavior And Cost Forecasting

Section: Chapter Questions

Problem 3DQ: Suppose a company finds that shipping cost is 3,560 each month plus 6.70 per package shipped. What...

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