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Sloane Blaine Limited Manufactures a Standard Model of Pressure Cooker

Question 27

Multiple Choice

Sloane Blaine Limited manufactures a standard model of pressure cooker.The selling price of each pressure cooker is £35.Variable costs of manufacture are £9.80.During its 20X7 financial year the company expects to incur fixed overheads of £108 000.The sales director expects to sell 5000 pressure cookers during 20X7. What is the margin of safety (in units, to nearest whole unit) ?


A) 1914
B) 4286
C) 714
D) 3086

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