AFIQAH & HAFIZ are partners in the pizzas business. They make and deliver Pizzas to dormitories and apartment near a state university. The business annual fixed expenses are RM 39,900. The selling price of Pizza is RM10 and it cost the business RM 5 to make a pizza. The business also incurred RM 1.50 delivery cost each pizza. The current average monthly sale is 1,250 units of pizza.

required ;

A) Determine the business break-even points in units and value of the year

B) Calculate the margin of safety (in unit and value) for the year

C) How many pizzas must the business sell to earn a target net profit of RM65,000?

D) For the coming year, the following changes are expected :

1) a special machine would have to be bough at Rm 1,000. It is estimated that the machine would last for five years with no resale value

2) each pizza will be packed in a special box, which cost RM 0.80 each

a) what will be the new break-even point in units and value?

b) what will be now net profit for the coming year if the business expects to sell the same number of pizzas as the current month