Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

(11) 5.2 REQUIRED: Use the information provided below to: 5.2.1 Calculate the break-even quantity 5.2.2 Calculate the break-even value 5.2.3 Calculate the margin of safety

image text in transcribed
(11) 5.2 REQUIRED: Use the information provided below to: 5.2.1 Calculate the break-even quantity 5.2.2 Calculate the break-even value 5.2.3 Calculate the margin of safety in units. 5.2.4 Calculate the target sales volume to achieve a profit of R100 000 5.2.5 Calculate the contribution margin ratio (2) (2) (2) (2) INFORMATION: Climatron Industries plans to manufacture deskfans and the following information is applicable: Estimated sales for the year 3 000 units at R300 each Estimated costs for the year Direct Material R80 per unit Direct Labour R40 per unit Factory overheads (all fixed) 100 000 Selling expenses R10 per unit sold Administrative expenses (all fixed) R70 000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing Assurance Services and Ethics in Australia an Integrated Approach

Authors: Alvin A Arens, Peter J. Best, Greg Shailer, Brenton Fiedler

9th edition

978-1442539365, 1442539364

More Books

Students also viewed these Accounting questions

Question

15. Argue that E = EFU EFC, EUF = EU FEC.

Answered: 1 week ago