Question
Anne produces and sells coffee products. To run its business, the company must rent buildings and machines with a total fixed cost of IDR 133,000,000
Anne produces and sells coffee products. To run its business, the company must rent buildings and machines with a total fixed cost of IDR 133,000,000 for a period of 1 year. To carry out production activities, companies need to pay raw material and packaging costs of Rp. 8,330 per drink and then the company can sell their products for Rp. 25,330.
a) How many units must the company sell in a period of 1 year in order for the company to break even? b) If the company sells 9,330units, how much profit / loss will the company get? Is the company a gain or loss? c) How much income does the company earn from sales in number (b)? d) What is the total cost that the company has to spend from sales in number (b)?
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