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Exercise 5-8 (Algo) Compute the Margin of Safety [LO5-7] Molander Corporation is a distributor of...

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Accounting

Exercise 5-8 (Algo) Compute the Margin of Safety [LO5-7] Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next months budget appear below: Selling price per unit $ 26 Variable expense per unit $ 13 Fixed expense per month $ 10,530 Unit sales per month 960 Required: 1. What is the companys margin of safety? (Do not round intermediate calculations.) 2. What is the companys 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).)image

Exercise 5-8 (Algo) Compute the Margin of Safety (LO5-7] 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 Variable expense per unit Fixed expense per month Unit sales per month $ 26 $ 13 $ 19,530 960 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 (l.e. 1234 should be entered as 12.34).) 1. Margin of safety (in dollars) 2. Margin of safety percentage %

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