company's margin of safety in pesos isP30,000; fixed costs, P90,000; sales, P200,000; and CM ratio, 60%. The7. The following are taken from Lily Company's income statement: net income.'sа. Р30,000b. P50,000с. PI50,000d. None of these.8 Refer to no. 7. The margin of safety in percentage form isa. 75%b. 40%c. 25%d. 60%e. None of these.

The margin of safety indicates how much revenue a company can afford to lose before it start…

7. The following are taken from Lily Company's income statement: net income. P30,000; fixed costs, P90,000; sales, P200,000; and CM ratio, 60%u. The company's margin of safety in pesos is а. Р30,000 b. P50,000 c. P150,000 d. None of these. 8. Refer to no. 7. The margin of safety in percentage form is а. 75% b. 40% c. 25% d. 60% e. None of these.

7. The following are taken from Lily Company's income statement: net income. P30,000; fixed costs, P90,000; sales, P200,000; and CM ratio, 60%u. The company's margin of safety in pesos is а. Р30,000 b. P50,000 c. P150,000 d. None of these. 8. Refer to no. 7. The margin of safety in percentage form is а. 75% b. 40% c. 25% d. 60% e. None of these.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter6: Merchandising Transactions

Section: Chapter Questions

Problem 19Q: The following is select account information for Sunrise Motors. Sales: $256,400; Sales Returns and...

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