Suzanne sells authentic Amish quilts on her website. Suppose ss attached Suzanne sells authentic Amish quilts on her website. Suppose Suzanne expects to sell 2,500 quilts during the coming year. Her average sales price per quilt is $250, and her average cost per quilt is$150. Her fixed expenses total $150,000. Compute her margin of safetya. in units (quilts).b. in sales dollars.c. as a percentage of expected sales.a. Compute her margin of safety in units (quilts).Begin by determining the formula, then compute the margin of safety in units (quilts).Expected sales in unitsBreakeven sales in units-O= Margin of safety in units

Contribution margin is excess of sales over variable costs in the business.Contribution margin per…

Answered: Suzanne sells authentic Amish quilts on…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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You and two friends have identified a gap in the market in your hometown for work-from-home business clothing. This clothing is functional, comfortable and looks smart in online conferences and meetings. You decide to start a new business designing and manufacturing the clothing. Identify and explain the legal form of ownership you believe would be best for your business. Justify your choice.
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