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Which of the Following Statements Is the Correct Calculation for the Margin

Question 15

Multiple Choice

Which of the following statements is the correct calculation for the margin of safety in dollars?


A) The excess of projected (or actual) sales dollars over the break-even sales dollars.
B) The excess of projected (or actual) sales price over the break-even sales price.
C) The excess of projected (or actual) cost of sales in dollars over the break-even costs of sales in dollars level.
D) None of the answers is correct.

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