Answered step by step
Verified Expert Solution
Question
1 Approved Answer
3.1 REQUIRED Calculate the following from the information given below: 3.1.1 Break-even quantity {3 marks] 3.1.2 Break-even value using the marginal income ratio {4 marks]
3.1 REQUIRED Calculate the following from the information given below: 3.1.1 Break-even quantity {3 marks] 3.1.2 Break-even value using the marginal income ratio {4 marks] 3.1.3 Margin of safety {in Rands] {3 marks] 3.1.4 Total Marginal Income and Net Prothoss if the sales price is reduced to R90 per unit. {4 marks] INFORMATION Dynamo Ltd manufactures calculators. The following information was extracted om the budget for the year ended 31 Deoember2023: Sales volume 20 000 units Selling price per unit R100 'v'ariable manufacturing cost per unit R50 Variable marketing cost per unit 10% of the unit selling price Fixed manufacturing cost R400 000 Fixed administration and marketing costs R200 000 3.2 REQUIRED Calculate the following from the information provided below: 3.2.1 The total variable costs if 12 000 units are sold. {2 marks] 3.2.2 The numberof units that must be sold to earn a net prot of R120 000. if the selling price is reduced by 10% and the variable oost per unit determined in question 3.2.1 remains unchanged. {4 marks] INFORMATION Simplex Limited, which manufactures only one product. provided the following information: Fixed costs per annum R302 400 Selling price per unit R100 Marginal income per unit R60
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started