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1 ) DETERMINE THE DIRECT VARIABLE INDUSTRIAL COST, INDIRECT VARIABLE INDUSTRIAL COST, DIRECT VARIABLE COMMERCIAL COST, COMMERCIAL VARIABLE COST OF PRODUCT 2 ) DETERMINE THE
DETERMINE THE DIRECT VARIABLE INDUSTRIAL COST, INDIRECT VARIABLE INDUSTRIAL COST, DIRECT VARIABLE COMMERCIAL COST, COMMERCIAL VARIABLE COST OF PRODUCT
DETERMINE THE DIRECT FIXED INDUSTRIAL COST, DIRECT FIXED COMMERCIAL COST, INDIRECT FIXED INDUSTRIAL COST, INDIRECT FIXED COMMERCIAL COST OF PRODUCT
FIND THE FULL COMMERCIAL COST, COMMERCIAL VARIABLE COST, COMMERCIAL DIRECT COST, FORMING COST OF THE PRODUCT.
DETERMINE THE SALES PRICE BY PUTTING A PROFIT SHARE ON THE FULL COMMERCIAL COST OF THE PRODUCT AND AT THE LEVEL OF THE COMMERCIAL COST OF THE PRODUCT
A Determine BREAKOFF SALES AND PROFITMAKING SALES AMOUNT
B Determine BREAKOFF SALES AND PROFIT MAKING AMOUNT
Determine PROFIT IF UNITS OF PRODUCT X ARE SOLD PER MONTH
IF THE MONTHLY PROFIT OF PRODUCT IS TARGET TO BE TL CALCULATE HOW MANY OF THE PRODUCT SHOULD BE SOLD.
DETERMINE WHAT WILL BE THE BREAKOFF AND PROFITMAKING SALES AMOUNTS AND THE PROFITLOSS FROM THE PRODUCT IF THERE IS A INCREASE IN THE DIRECT VARIABLE PRODUCTION COST OF PRODUCT X AND A DECREASE IN THE SALES PRICE.
UNDER THE ABOVE CONDITIONS WHAT WILL BE YOUR DECISION TO CONTINUE PRODUCTION OF PRODUCT X OR NOT.
WHAT WILL BE YOUR AVOIDABLE AND UNAVOIDABLE COSTS AND BUSINESS PROFIT IF YOU DON'T CONTINUE PRODUCTION OF PRODUCT X
EDIT THE INCOME STATEMENT OF PRODUCT X AT THE END OF A YEAR,
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