To Determine the Margin of Safety,managers Compute

question 16

Multiple Choice

To determine the margin of safety,managers compute:

• A)budgeted revenues / breakeven sales.
• B)budgeted sales + breakeven sales.
• C)budgeted revenues + breakeven revenues.
• D)budgeted sales - breakeven sales.
• E)budgeted revenues - breakeven revenues.

---

Definitions:

Philanthropic

Relating to the act of giving money, goods, time, or effort to support a charitable cause, often with no financial benefit to the giver.

Financial Donation

A gift or contribution of money made to a charitable organization or cause.

Earned Income

Income generated from business activities or services provided, distinguishing it from investment or donated income.

Earned-Income Strategies

Approaches used by non-profits or social enterprises to generate revenue through business activities rather than donations or grants.