Margin of Safety (Percent)
Part of: Cost Accounting
Formula
(Actual Sales - Break-Even Sales) / Actual Sales
Interactive Calculator
| Component | Value |
|---|---|
| Actual Sales | |
| Break-Even Sales | |
| Margin of Safety | — |
CategoryCost Accounting
ComponentsMargin of Safety (%); Actual Sales; Break-Even Sales
Example(1M - 500K) / 1M = 50%
Related Subjects
See Also
- Cost AccountingPart of Cost Accounting
External Links
- Margin of safety (financial) — Wikipedia