Parker Company
Below Is an Income Statement for Parker Company $\$ 400,000$

Multiple Choice

Parker Company
Below is an income statement for Parker Company:
Sales                                                                         $\$ 400,000$
Variable costs                                                          $\underline{(125,000) }$
Contribution margin                                                  $275,000
Fixed costs                                                            $\underline{(200,000) }$
Profit before taxes                                                  $\underline{\$75,000}$

Refer to Parker Company.What was Parker's margin of safety?

A) $200,000
B) $75,000
C) $100,000
D) $109,091