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    Introduction to Management Accounting Study Set 3
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    Exam 2: Introduction to Cost Behavior and Cost Volume Relationships
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    The Margin of Safety
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The Margin of Safety

Question 139

Question 139

Multiple Choice

The margin of safety:


A) shows how actual sales differ from planned sales
B) is the sales price minus all the fixed expenses
C) is the same as contribution margin
D) equals planned unit sales less break- even unit sales

Correct Answer:

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