James Company has a margin of safety percentage of 20%. The break-even point is £200,000 and the variable expenses are 45% of sales. Given this information, the operating profit is:Select one:O A. £27,500O B. £18,000O C. £22,500O D. £22,000

Break even sales is at which there is no loss and no profit and all costs are covered and margin of…

Answered: nes Company has a margin of safety…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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nes Company has a margin of safety percentage of 20%. The break-even point is £200,000 and the variable expenses are 45% of sales. Given this informati ect one: A. £27,500 B. £18,000 C. £22,500