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(Solved) (Latest ver. Aug 2020) - Margin of Safety Problems

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Strong Wood Company is a distributor of patio furniture. Data concerning the next month's budget appear below.
Selling price $290.00
Variable expense $174.00
Fixed expense $158,000.00
Unit sales 1,500 units per month

a. What is the company's margin of safety? (Please show all work so I am able to learn the formulas)
b. What is the company's margin of safety as a percentage of sales? (Please show all work so I am able to learn the formulas)

I am very interested in learning how to do this, so any help with formulas is great, and please show all computations in your work.


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