Question: Heather Hudson makes stuffed teddy bears. Recent information for her business follows: Selling price per bear Total fixed costs per month Variable cost per

Heather Hudson makes stuffed teddy bears. Recent information for her business follows: 


Heather Hudson makes stuffed teddy bears. Recent information for her business follows: Selling price per bear Total fixed costs per month Variable cost per bear $ 34.50 2,482.00 17.50 Required: If she sells 279 bears next month, determine the margin of safety in units, in sales dollars, and as a percentage of sales. Note: Round your intermediate calculations to the nearest whole number and round your "Percentage of Sales" answer to decimal places. (i.e. 0.1234 should be entered as 12.34%. Round your "Margin of safety (Dollars)" answer to the nearest whe number.) Answer is not complete. 165 5,708 Margin of safety (Units) Margin of safety (Dollars) Margin of safety percentage $ %

Step by Step Solution

3.39 Rating (152 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

Heather Hudsons Margin of Safety Calculations Contribution Margin per Bear Contribution Margin Selli... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!