What is the margin of safety in dollars?

A) $4,505,760
B) $858,240
C) $3,576,000
D) $5,364,000

The margin of safety is calculated by subtracting the break-even point from the actual or projected sales. In this case, the break-even point is $9,164,160 and the actual sales are $10,022,400. Therefore, the margin of safety is $858,240 (10,022,400 - 9,164,160). This means that the company's sales can decrease by $858,240 before it starts incurring losses. Option B is the correct answer as it represents the margin of safety in dollars. The other answer choices are either the break-even point or unrelated to the question.