A. $12,000
B. $14,000
C. $15,000
D. $16,000
✅ The correct answer is option C.
Margin of safety = Budgeted revenue – Breakeven revenue
= $50000 – $35000 = $15,000.
Margin of safety = Budgeted revenue – Breakeven revenue
= $50000 – $35000 = $15,000.