Question
In: Accounting
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the...
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month’s budget appear below: Selling price per unit $ 30 Variable expense per unit $ 19 Fixed expense per month $ 9,350 Unit sales per month 1,000
Required: 1. What is the company’s margin of safety? 2. What is the company’s margin of safety as a percentage of its sales?
Solutions
Expert Solution
Answer:
1) Margin of safety = $4500
2) Margin of safety as percentage of its sales = 15%
ekkarill92 answered 2 years agoRelated Solutions
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the...
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below:
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below:
Selling price per unit
$
26
Variable expense per unit
$
17
Fixed expense per month
$
7650
Unit sales per month
1000
Required:
1. What is the company’s margin of safety? (Do not round
intermediate calculations.)
2....
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the...
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below:
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below:
Selling price per unit
$
30
Variable expense per unit
$
14
Fixed expense per month
$
12,960
Unit sales per month
960
Required:
1. What is the company’s margin of safety? (Do not round
intermediate calculations.)
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the...
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below:
Selling price per unit
$
30
Variable expense per unit
$
20
Fixed expense per month
$
7,500
Unit sales per month
1,000
Required:
1. What is the company’s margin of safety?
2. What is the company’s margin of safety as a percentage of its
sales?
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the...
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below:
Selling price per unit
$
29
Variable expense per unit
$
15
Fixed expense per month
$
11,340
Unit sales per month
960
Required:
1. What is the company’s margin of safety? (Do not round
intermediate calculations.)
2. What is the company’s margin of safety as a percentage of its
sales? (Round your percentage answer to 2 decimal places...
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the...
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below:
Selling price
$27
per unit
Variable
expenses
$15
per unit
Fixed expenses
$10,560
per month
Unit sales
1,030
units per month
Required:
1.
Compute the company’s margin of
safety. (Do not round intermediate
calculations.)
2.
Compute the company’s margin of safety as a percentage of its
sales. Round your percentage answer to 2 decimal places
(i.e .1234...
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the...
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below:
Selling price
$28
per unit
Variable expenses
$17
per unit
Fixed expenses
$8,910
per month
Unit sales
960
units per month
Required:
1.
Compute the company’s margin of safety. (Do not round
intermediate calculations.)
2.
Compute the company’s margin of safety as a percentage of its
sales. Round your percentage answer to 2 decimal places
(i.e .1234...
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the...
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below:
Selling price per unit
$
26
Variable expense per unit
$
13
Fixed expense per month
$
10,660
Unit sales per month
970
Required:
1. What is the company’s margin of safety? (Do not round
intermediate calculations.)
2. What is the company’s margin of safety as a percentage of its
sales? (Round your percentage answer to 2 decimal places...
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the...
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below:
Selling price per unit
$
29
Variable expense per unit
$
13
Fixed expense per month
$
13,600
Unit sales per month
1,000
Required:
1. What is the company’s margin of safety? (Do not round
intermediate calculations.)
2. What is the company’s margin of safety as a percentage of its
sales? (Round your percentage answer to 2 decimal places...
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the...
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below:
Selling price
$27
per unit
Variable expenses
$12
per unit
Fixed expenses
$12,300
per month
Unit sales
970
units per month
Required:
1.
Compute the company’s margin of safety. (Do not round
intermediate calculations.)
2.
Compute the company’s margin of safety as a percentage of its
sales. Round your percentage answer to 2 decimal places
(i.e .1234...
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month’s budget appear below:
Molander Corporation is a distributor of a sun umbrella used at
resort hotels. Data concerning the next month’s budget appear
below: Required: 1. What is the company's margin of safety? (Do not round intermediate calculations.) 2. What is the company's margin of safety as a percentage of its sales? (Round your percentage answer to 2 decimal places (i.e. 1234 should be entered as 12.34).)
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