Question: Honolulu, Inc. sells its product for $800 per unit. Variable costs are $470 per unit, and fixed costs are $8,580 per month. If the firm
Honolulu, Inc. sells its product for $800 per unit. Variable costs are $470 per unit, and fixed costs are $8,580 per month. If the firm expects to sell 40 units next month, what is its margin of safety in units?
| A. | 14 units | |
| B. | 66 units | |
| C. | 40 units | |
| D. | 12 units |
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