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All the information has been given 143 1 21 141 181 81 1101112111 19 121 121 12 1301 141 Trident Ltd manufactures a single product
All the information has been given
143 1 21 141 181 81 1101112111 19 121 121 12 1301 141 Trident Ltd manufactures a single product and the following information relates to the product for the current year. Unit information Selling price 30 Variable costs: I Material 84 Labour 7 Overhead 5 20 Contribution 10 MEI Sales at current selling price 10,000 units Fixed costs 60,000 You are required to: a) Calculate the contribution/sales ratio. I b) Calculate the breakeven point and margin of safety c) Calculate the sales in units required to achieve a profit of 50,000 assuming that the costs and selling price remain unchanged. d) Calculate the profit if the sales are 360,000 assuming costs Mis (1) 2109 e) Present the information for the current year in the form of: i) A breakeven chart ii) A profit volume grapheStep by Step Solution
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