RSE Corporation sells its product for $10 per unit. Its variable cost is $3 per unit, and total fixed costs are $700. Assuming next period's estimated sales are 250 units, and that 250 units is within the relevant range, calculate the following amounts:
a)Degree of operating leverage
b)Margin of safety in units
c)Margin of safety in revenues
d)Estimated income or loss (indicate which)

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The Answer of RSE Corporation sells its product for $10 per unit. Its variable cost is $3 per unit, and total fixed costs are $700. Assuming next period's estimated sales are 250 units, and that 250 units is within the relevant range, calculate the following amounts:
a)Degree of operating leverage
b)Margin of safety in units
c)Margin of safety in revenues
d)Estimated income or loss (indicate which)

RSE Corporation Sells Its Product for $10 Per Unit