Q302
If margin of safety is 25000 and budgeted revenue is 45000, then margin of safety in percentage will be
A.
55.56%
AnswerB.
25.50%
C.
28.00%
D.
45.00%
Answer: Option A
Solution
Answer: Option A
Solution:
Margin of safety in percentage = Margin of safety ÷ Budgeted revenue × 100 = 45000 × 100 = 55.56%.