Gould Enterprises Sells Computer Disks for $1

question 94

Multiple Choice

Gould Enterprises sells computer disks for $1.50 per disk. Unit variable expenses total $0.90. The breakeven point in units is 3,000 and budgeted sales in units are 4,300. What is the margin of safety in dollars?

• A) $4,500
• B) $1,950
• C) $2,580
• D) $780

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Definitions:

Sunken Stomata

Stomatal openings located below the surface level of plant epidermis, helping reduce water loss by decreasing transpiration.

Desert

A barren or desolate area, especially one with little water and sparse vegetation, typically receiving less than 25 cm of precipitation a year.

Small Leaves

Leaf adaptation that reduces surface area to minimize water loss, typically found in plants living in dry or windy environments.

Girdling

A horticultural technique in which a ring of bark from a tree or plant is removed, disrupting the flow of nutrients and sometimes used to enhance fruit production or kill the plant.