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

question 128

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 7,500 units.

---

Definitions:

Shareholders' Equity

The residual interest in the assets of a corporation after deducting its liabilities; also known as stockholders' equity, representing the owners' equity in the company.

Light-Emitting Diode

A semiconductor device that emits light when an electrical current passes through it, used in a wide range of lighting and electronic displays.

Incandescent Bulb

A traditional light bulb that produces light through the heating of a filament until it glows.

Cree

A Native American people of North America, or related to the language of this group.