FOR ITS MOST RECENT FISCAL YEAR, A FIRM REPORTED THAT ITS CONTRIBUT...

9. For its most recent fiscal year, a firm reported that its contribution margin was equal to 40

percent of sales and that its net income amounted to 10 percent of sales. If its fixed costs

for the year were P60,000, how much was the margin of safety?

a. P150,000 c. P600,000

b. P200,000 d. P 50,000