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pickupchik [31]
3 years ago
6

The margin of safety ratio is computed as actual sales divided by break-even sales. is used to determine the break-even point. i

ndicates what percent decline in sales could be sustained before the company would operate at a loss. measures the ratio of fixed costs to variable costs.
Business
1 answer:
max2010maxim [7]3 years ago
8 0

Answer:

indicates what percent decline in sales could be sustained before the company would operate at a loss.

Explanation:

Since, Margin of safety ratio = Expected Sales - Break even sales

therefore,

The correct statement is : The margin of safety ratio indicates what percent decline in sales could be sustained before the company would operate at a loss.

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Answer:

Explanation:

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cluponka [151]

Answer:

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Explanation:

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In same breath, we also have the scale economics exhibited by the organization. Taking a deeper look at the cost representation, we will see that the average cost tend to reduce as the production increases. Thus, an economic of scale is achieved here by leveraging on the mass and swift production style of Riverside Rangers logo T-shirts.

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1. The following are categories of accounts reported in the financial statements: A. Current Assets E. Long-Term Liabilities B.
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E, B, D, C, A, G, H, F

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