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break even Avatar Sdn Bhd manufactures a single product called 'Movie'. The following information relates tothe budgeted cost and sales for the year ended 31
break even
Avatar Sdn Bhd manufactures a single product called 'Movie'. The following information relates tothe budgeted cost and sales for the year ended 31 December 2021: Calculate the following: (a) The break-even point in units and value. (b) The profit or loss arising if the units sold are: (i) 5,000 units (ii) 10,000 units (c) The number of units to be sold if the target profit is RM25,000. (d) The new break-even point if the management decide to boost sales by increasing the advertising expenses by RM10,000. (d) The new selling price if the direct labour cost is increased by 20% and the direct material cost increased by 10%. The company wants to maintain a profit of RM50,000 at an output level of 9,000 units. (e) List any THREE (3) assumptions of cost-volume profit analysisStep by Step Solution
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