Question: How would I answer the question and what would the following answers be? Needles, Inc. was evaluating its margin of safety. Which one of the
How would I answer the question and what would the following answers be?


Needles, Inc. was evaluating its margin of safety. Which one of the following is true? The break-even point is not relevant. The higher the ratio, the greater the margin of safety. The higher the dollar amount, the lower the margin of safety. The higher the ratio, the lower the fixed costs.If Sheridan Ltd. has a margin of safety of $94000, which of the following statements is correct? Sales can increase by $94000 before Sheridan have an operating loss. Fixed costs can increase by $94000 before Sheridan have an operating loss. Sales can decrease by $47000 and fixed costs can increase by $37600 before Sheridan have an operating loss. Sales can increase by $47000, and fixed costs can decrease by $47000 before Sheridan have an operating loss
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