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1. AV Views Berhad manufactures a 45 LED screen. On average is able to sell 4,600 screens per annum at unit selling price of
1. AV Views Berhad manufactures a 45" LED screen. On average is able to sell 4,600 screens per annum at unit selling price of RM2,900. The following data is related to the product: Variable cost per unit: RM Direct material 610 Direct labour 560 260 Production overhead Selling overhead Total 340 1,770 Annual fixed cost: Production overhead 353,600 General and administration 160,520 180,830 Selling and distribution Total 694,950 Required: (Answer each of the question independently) (a) Determine the following: i. Break-even point in unit and RM. (5 marks) ii. Margin of safety in unit and RM. (4 marks) iii. Net profit. (3 marks) Calculate the LED screen unit should the company sell per year in order to achieve a desired profit of RM15 million. (3 marks) (b)
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