Margin of Safety Heads-Up Company sold 6,600 scooter helmets at $80.00 each...

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Accounting

Margin of Safety Heads-Up Company sold 6,600 scooter helmets at $80.00 each this fiscal year. Unit variable costs were $50.00(includes direct material, direct labor, variable manufacturing overhead, and variable selling expense). Total fixed costs equaled $82,500(includes fixed manufacturing overhead and fixed selling and administrative expense). Operating income for the year was $115,500. Calculate the margin of safety in units.
Select one:
a.3,850
b.1,375
c.6,600
d.4,400
e.2,750

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