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July 5, 2015

Homework Help: Accounting

Posted by Judy on Friday, August 20, 2010 at 5:01pm.

Larry sells each unit for $500. Variable costs per unit equal $300. Totalfixed costs equal $800,000. Larry is currently sellig 5,000 units per period and would like to earn net income of $400,00.
comput: Break-evn point indollras, sales units necessary to attain desired income, and margin of safety ration for current operations.

Margin of safety= what pecent? not sure where to go from here.

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