A. If Kirwan company, with a break-even point at $438,900 of sales, has actual sales of $570,000, what is the margin of safety expressed (1) in dollars and (2) as a percentage of sale?
1. $_____
2. ____%
b. If the margin of safety for Kirwan Company was 40%, fixed cost were $2,061,675, and variable cost were 55% of sales, what was the amount of actual sales (dollars) (Hint: Determine the break-even in sales dollar firs.) $____
