BREAK EVEN ANALYSIS QUESTION ON POULTRY BUSINESS Kanny's Poultry wants to invest in production of Broiler chicken. The Farm has a capacity to produce 1,000 birds for the 6 weeks period. It takes 6 weeks for the chicks to mature and to be available for sale in the market and the Selling Price shall be D250. The following cost table was provided by the CEO of Kombo Poultry Farm for the same 6 weeks period.: DETAILS Poultry new Chicks Expense type Chicks Cost Category Variable QTY 600.00 QTY TYPE UNIT PRICE Chicks 45.00 AMOUNT 27,000.00 Starter 2 weeks (overall 8 bags for every 100 chicks for 6 weeks) Feed Variable 10.00 Bags 1,350.00 13,500.00 Grower 2 weeks Feed Variable 15.00 Bags 1,350.00 20,250.00 Finisher 2 weeks Feed Variable 15.00 Bags 1,350.00 20,250.00 Anti stress medication first 3 days Medication Variable 1.00 Carton 1,500.00 HB1 on 4th day Medication Variable 1.00 sacket 400.00 Amina grower Medication Variable 2.00 sacket 125.00 Lemoxing Medication Variable 5.00 sacket 150.00 Lasota Medication Variable 500.00 Doses 0.40 1,500.00 400.00 250.00 1,250.00 200.00 Amprocox Medication Variable 2.00 Bottles 150.00 300.00 Feeders Feeders Fixed 25.00 250.00 6,250.00 Drinkers 6 liters Drinkers Fixed 15.00 350.00 5,250.00 Feeder plates Feeders Fixed 15.00 150.00 2,250.00 Salary for staff for the period Fixed 24,000.00 You are required to: 1. Advice the MD of Kanny's Poultry as to the number of birds to produce within the specified period to break even. 2. To justify your above answer, provide a profit statement using the break even quantity 3. What is the margin of safety?