The Following Monthly Data Are Available for the Eager Company

The following monthly data are available for the Eager Company and its only product:
$\begin{array}{|l|r|}\hline \text { Unit sales price } & \$ 75 \\\hline \text { Unit variable expenses } & \$ 30 \\\hline \text { Total fixed expenses } & \$ 180,000 \\\hline \text { Actual sales for the month of March } & 7,000 \text { units } \\\hline\end{array}$
What was the margin of safety for the company for March?

A) $315,000.
B) $225,000.
C) $135,000.
D) $495,000.

Correct Answer:

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