Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A company has a contribution/sales ratio of 40%. It maintains a margin of safety of 20%. If its annual fixed cost amount to Rs.

image text in transcribed

A company has a contribution/sales ratio of 40%. It maintains a margin of safety of 20%. If its annual fixed cost amount to Rs. 24 lakhs, calculate its (1) Break even sales (ii) Margin of safety (iii) Total sales (iv) Total variable costs and (v) Profit

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

Income Tax Fundamentals 2013

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

31st Edition

1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516

More Books

Students also viewed these Accounting questions

Question

19. What is the basic element of a sequential circuit?

Answered: 1 week ago

Question

Does log 81 (2401) = log 3 (7)? Verify the claim algebraically.

Answered: 1 week ago

Question

Discuss three responsibilities of a project manager

Answered: 1 week ago