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Calculate the following Break-even quantity Break-even value using the marginal income ratio Margin of safety (in Rands) Total Marginal Income and Net Profit/Loss if the
Calculate the following
- Break-even quantity
- Break-even value using the marginal income ratio
- Margin of safety (in Rands)
- Total Marginal Income and Net Profit/Loss if the sales price is reduced to R90 per unit.
The following information was extracted from the budget for the year ended 31 December 2023:
Sales volume - 20 000 units Selling price per unit - R100 Variable manufacturing cost per unit - R50 Variable marketing cost per unit - 10% of the unit selling price Fixed manufacturing cost - R400 000 Fixed administration and marketing costs - R200 000
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