Awanita Enterprises sells computer flash drives for $3.16 per unit. Unit variable cost is $0.06. The breakeven point in units is 3,600, and expected sales in units are 4,300. What is the margin of safety in dollars?

Margin of safety= $2,212

Explanation:

Giving the following information:

Selling price per unit= $3.16

The breakeven point in units is 3,600, and the expected sales in units are 4,300.

The margin of safety is calculated using the following formula:

Margin of safety= (current sales level - break-even point)

Current sales level= 4,300*3.16= $13,588

Break-even point dollars= 3,600*3.16= 11,376

Margin of safety= 13,588 - 11,376= $2,212

d, conspicuous consumption is when you try to increase your wealth or social status (and in the case he's trying to create the perception of wealth considering he can't really afford it)

almost done 23 out of 25