Question
A Ltd maintains an MS of 37.5% with an overall ContributionSales ratio of 40%. If the Fixed Costs amount to Rs. 5 lakhs, calculate the
A Ltd maintains an MS of 37.5% with an overall ContributionSales ratio of 40%. If the Fixed Costs amount to Rs. 5 lakhs, calculate the following:
(a) BES; (b) Total Sales; (c) Total Variable Cost; (d) Current Profit; (e) MS; (f) What would be the impact of change in ContributionSales ratio to 50%; and (g) New MS if the Sales Value is increased by 7.5%.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Lets calculate the values based on the given information Given MS MarkUp on Selling Price 375 ContributionSales ratio 40 Fixed Costs Rs 5 lakhs a BES ...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 StartedRecommended 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
Students also viewed these Accounting questions
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
View Answer in SolutionInn App