the information provided below to calculate the following independently: 3.1 Break - even quantity 3.2 Margin of safety (in Rands) 3.3 The selling price per unit that will enable the company to break even 3.4 Total Marginal Income and net Profit/Loss if the sales Volume is 10% less than the budgeted figure. 3.5 The number of units that must be sold to earn a net profit of R811 000, if the selling price increases by R20 per unit and the variable costs increase by 10% Information The following budgeted information was extracted from the budget of Brad Manufacturers: Sales 30000 units Selling price per unit R220 Direct materials cost per unit R30 Direct labour cost per unit R20 Variable manufacturing overheads cost per unit R10 Fixed manufacturing costs R1 800000 Variable cost per unit R40 Fixed marketing and administration costs R600000
Use the information provided below to calculate the following independently: 3.1 Break - even quantity 3.2 Margin of safety (in Rands) 3.3 The selling price per unit that will enable the company to break even 3.4 Total Marginal Income and net
Step by step
Solved in 3 steps with 3 images
