What is margin of safety?

Question

16 May 2025

Answer :

Word Count : 297

Margin of safety in managerial accounting and finance, particularly in the tourism industry, refers to the difference between actual or expected sales and the break-even sales level. It indicates how much sales can drop before the business reaches its break-even point, where total revenues equal total costs, resulting in _______ ________ ______ _______ ______ _______ ____ _____ ____ _____ ______.
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