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At Safety-Clean Janatorial Services, and everywhere else, the margin of safety tells the managers: Multiple Choice...

At Safety-Clean Janatorial Services, and everywhere else, the margin of safety tells the managers:

Multiple Choice

  • how much sales would have to increase to hit the target profit.

  • how much profit would drop if sales decreased.

  • how much sales could drop before the firm no longer earns profits.

  • how much profit would have to increase to hit target sales.

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Answer #1

Answer is option c) how much sales could drop before the firm no longer earns profits.

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