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QUESTION
Big Time Cellular sells smart phones for $150. The unit variable cost per phone is $25 plus a selling commission of 10%.
Big Time Cellular sells smart phones for $150. The unit variable cost per phone is $25 plus a selling commission of 10%. Fixed manufacturing costs total $5,600 per month, while fixed selling and administrative costs total $2,100. They expect sales of $12,300 during the next month. How much is the margin of safety for next month?
