The Following Monthly Data Are Available for Heffernan, Inc

question 26

Multiple Choice

The following monthly data are available for Heffernan, Inc. which produces only one product: Selling price per unit, $42; Unit variable expenses, $14; Total fixed expenses, $42,000; Actual sales for the month of June, 4,000 units. How much is the margin of safety for the company for June?

• A) $70,000
• B) $105,000
• C) $63,000
• D) $2,500

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Definitions:

Reward Power

A form of power based on the ability to distribute rewards that others view as valuable, often used in organizational contexts.

Small Informal Groups

Collectives of individuals who come together spontaneously or for a specific purpose without a formal structure.

Propinquity

The proximity or physical closeness between people, which can affect their likelihood to form relationships or connections.

Reference Groups

Groups that individuals compare themselves to for self-evaluation or as a source of personal standards.