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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

  1. Break-even quantity
  2. Break-even value using the marginal income ratio
  3. Margin of safety (in Rands)
  4. 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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