(20 marks) Question 3 Moon (Ltd) manufacture specially treated garden benches. The following information was extracted from the budget for the year ended 29 February 2016 2 000 units Estimated sales for the financial year Selling price per garden bench Variable production cost per garden bench - Direct material - Direct labour - Overheads Fixed production overheads Selling and administrative expenses: - Salary of sales manager for the year - Sales commission R450 R135 R90 R45 R127 500 R75 000 10% of sales Required: (round off answers to the nearest rand or whole number) 3.1 Calculate the break-even quantity. 3.2 Determine the break-even value using the marginal income ratio 3.3 Calculate the margin of safety (in Rand terms) 3.4 Determine the number of sales units required to make a profit of R150 000 3.5 Suppose Moon (Ltd) wants to make provision for a 10% increase in fixed production (4 marks) (4 marks) (4 marks) (3 marks) costs and an increase in variable overhead costs of R15 per unit Calculate the new break-even quantity