Caleb’s company has made some changes to its variable and fixed costs over the past few months. He now wants to know how these changes impact his overall risk. Caleb’s company currently has sales of $650,000. Its break-even point has been calculated as $400,000, and the fixed costs for the company are $90,000. What is the margin of safety ratio for Caleb’s company?

Aproduction line has three machines a, b, and c, with reliabilities of .96, .86, and .85, respectively. the machines are arranged so that if one breaks down, the others must shut down. engineers are weighing two alternative designs for increasing the line’s reliability. plan 1 involves adding an identical backup line, and plan 2 involves providing a backup for each machine. in either case, three machines (a, b, and c) would be used with reliabilities equal to the original three. a. compute overall system reliability under plan 1. (round your intermediate calculations and final answer to 4 decimal places.) reliability b. compute overall system reliability under plan 2. (round your intermediate calculations and final answer to 4 decimal places.) reliability c. which plan will provide the higher reliability? plan2plan1