Hi, John i’m getting 30,000 but i don’t get it why are we dividing 30,000/2 = 15000? pls kindly explain, thanks alot.
A company makes a single product which it sells for $2 per unit. Fixed costs are $13,000 per month. The contribution/sales ratio is 40%. Sales revenue is $62,500. What is the margin of safety (in units)? A. 15,000 B. 16,250 C. 30,000 D. 31,250