A business currently produces 2,000 units and its break-even output is 1,400 units. What is the margin of safety?

Q: How do I try a free CIE Business Studies question?

Just tap any of the four options on this page — no signup, no card, nothing to install. You'll see the correct answer and a full mark-scheme-style explanation within a second. Each visit shows a fresh randomly-picked question from the live CIE IGCSE Business Studies bank, so you can keep refreshing to try different ones before deciding whether to create a free account for daily access.

Q: Is Kramizo really free for CIE Business Studies students?

Yes — completely free. Every student gets 45 questions a day on the free plan, across any board and any subject, with no card required and no trial countdown. Kramizo's optional Pro plan removes the daily cap and adds analytics, but the free plan is genuinely free forever. We make money from the small percentage of students who choose to upgrade — not from selling data or ads.

Q: Are the Business Studies questions aligned to the CIE IGCSE syllabus?

Every question is written against the published CIE IGCSE Business Studies syllabus and reviewed for accuracy before being added to the bank. We match the command words (state, describe, explain, evaluate), mark allocations, and difficulty tier you'll see on real CIE past papers. Explanations are written in the style of official examiner mark schemes so students learn exactly what marks are being awarded for.

Question

A business currently produces 2,000 units and its break-even output is 1,400 units. What is the margin of safety?

Accepted Answer

600 units — Margin of safety = Actual output − Break-even output = 2,000 − 1,400 = 600 units. Option A adds the two figures. Option B restates break-even output. Option C restates actual output. The margin of safety tells the business how far output can fall before it reaches break-even.

Answer

3,400 units

Answer

2,000 units

Answer

600 units

Answer

1,400 units

One real Business Studies question.No signup. 30 seconds.

One real Business Studies question.
No signup. 30 seconds.