B Share Com Cost Volume Profit Question Lloyd is in business selling a product. You have explained to Frank Lloyd that it is possible to use break-even analysis to set profit targets and to determine whether it is worthwhile selling a product. Frank Lloyd provides you with the following info: Selling Price per unit Variable cost per unit Delivery Cost per unit Fixed costs per month: Salaries 8,000 Shop Rent Other Expenses 1,600 2,400 Required: a. How many units must John sell each month to break even? (3 Marks) b. If the shop currently sells 600 units per month calculate the margin of safety and the profit? (5 Marks) c. Calculate the Contribution/Sales ratio and the break-point in value? (3 Marks) d. How many units must be sold to make a profit of 6,000? (4 Marks) e. The rent is due to increase to 2,000 per month and delivery costs will increase to 2.50 per unit. How many units are now needed to be sold to breakeven? (5 Marks) F