During the current year, OutlyTech Corp. expected to sell 84 000 telephone switches. Fixed costs for the year were expected to be R16 080 000, the unit sales price was budgeted at R900, and unit variable costs were budgeted at R600.    OutlyTech's margin of safety (MOS) in sales Rands is:   A. R59 520 000   B. R25 200 000   C. R91 680 000   D. R27 360 000

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
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Chapter7: Budgeting
Section: Chapter Questions
Problem 13PB: Artic Camping Gears currently sells 35,000 units at $73 per unit. Its expenses are as follows:...
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During the current year, OutlyTech Corp. expected to sell 84 000 telephone switches. Fixed costs for the year were expected to be R16 080 000, the unit sales price was budgeted at R900, and unit variable costs were budgeted at R600. 
 
OutlyTech's margin of safety (MOS) in sales Rands is:

  A.

R59 520 000

  B.

R25 200 000

  C.

R91 680 000

  D.

R27 360 000

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