If the Unit Selling Price Is $40, the Volume of Sales

question 164

True/False

If the unit selling price is $40, the volume of sales is $3,000,000, sales at the break-even point amount to $2,500,000, and the maximum possible sales are $3,300,000, the margin of safety is 11,500 units.

---

Definitions:

Unidirectional Correlation

A correlation where an increase in one variable is consistently associated with an increase or decrease in another variable, without reversals in direction.

One-tailed Hypothesis

A hypothesis that specifies the direction of an expected difference or relationship, testing for the possibility of an effect in one direction only.

Two-tailed Hypothesis

A hypothesis test that considers both directions of effects by investigating the possibility of a relationship in two ways, either greater than or less than.

Valid Hypothesis

A scientifically grounded assertion that can be tested through empirical research or experimentation to be either supported or refuted.