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  3. 45. (10 points) divisions a and b both produce and

45. (10 points) Divisions A and B both produce and sell coaxial cables. The sales...

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Accounting

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45. (10 points) Divisions A and B both produce and sell coaxial cables. The sales price is $5 per cable. Data for both divisions at a sales volume of 100 units are as follows: Div. A $ 500 Div. B $ 500 Sales Variable costs 100 300 $ 400 $ 200 Total contribution margin Fixed costs 300 100 Operating income $100 $ 100 a. Calculate the Margin of Safety (MOS) percentage (ratio) for Division A and for Division B. b. Calculate the Degree of Operating Leverage (DOL) for Division A and for Division B. c. Which Division has the greatest risk of loss? Explain why this Division has more risk of loss

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