Delectable Foods produces a gourmet condiment that sells for $24 per unit. Variable cost is $6 per​ unit, and fixed costs are $6,000 per month. If Delectable expects to sell 2,000 ​units, compute the margin of safety in dollars.​ (Round any intermediate calculations to the nearest whole​ unit, and your final answer to the nearest​ dollar.)   A. $6,000   B. $40,008   C. $1,667   D. $10,002

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 7EB: Delta Co. sells a product for $150 per unit. The variable cost per unit is $90 and fixed costs are...
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Delectable Foods produces a gourmet condiment that sells for
$24
per unit. Variable cost is
$6
per​ unit, and fixed costs are
$6,000
per month. If Delectable expects to sell
2,000
​units, compute the margin of safety in dollars.​ (Round any intermediate calculations to the nearest whole​ unit, and your final answer to the nearest​ dollar.)
 
A.
$6,000
 
B.
$40,008
 
C.
$1,667
 
D.
$10,002
 
 
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