Mcmurtry Corporation sells a product for $300 per unit. The product's current sales are 14,100 units and its break-even sales are 10,293 units. The margin of safety as a percentage of sales is closest to:

A) 27%
B) 37%
C) 73%
D) 63%

Break-Even Sales

The amount of revenue required to cover both the fixed and variable costs of a business, indicating the point at which profit starts to be generated.

Margin Of Safety

The difference between actual sales and break-even sales, indicating the amount by which sales can drop before losses begin.

Percentage Of Sales

A financial ratio that compares a particular figure or total, such as profit or expense, to the total sales revenue.