Question
a)Alpha Company makes 4 products and incurs fixed costs of sh. 1000,000. The following information has been provided for the month of December. The following
a)Alpha Company makes 4 products and incurs fixed costs of sh. 1000,000. The following information has been provided for the month of December. The following information has been provided:
| Product | A | B | C | D |
| Selling price | 5 | 14 | 22 | 28 |
| Variable costs per unit | 1 | 12 | 14 | 24 |
| Expected sales in units | 40,000 | 10,000 | 30,000 | 20,000 |
i) What is the breakeven point in units
ii) How many units of C will be produced?
iii) How many units of D will be produced?
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Intermediate Accounting 2007 FASB Update Volume 2
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
12th Edition
0470128763, 978-0470128763
