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Jorgensen Company has sales of $380,000,000, and the break-even point in sales dollars is $323,000,000. Determine Jorgensen Company’s margin of safety as a percent of current sales

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smcamiddle

Answer:

1) a. break even point in units = fixed cost / contribution margin                                                   = 1,750,000 / 5                                                  = 350,000 units

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