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Carcily Enterprise makes three products, AL, BE and OM. The following information was provided in order to do a cost, volume, profit analysis. AL BE
Carcily Enterprise makes three products, AL, BE and OM. The following information was provided in order to do a cost, volume, profit analysis. AL BE OM $ $ $ 180 270 240 Selling price Less Variable Expenses: Direct materials 24 72 32 Other variable expenses 102 90 148 Total variable expenses 126 162 180 Demand (units) 500 500 500 Total fixed cost $721,500 Required: 1. Advise management on the amount of each product to manufacture to break-even. Show all workings. [11 marks] II. Calculate the amount of each product to manufacture to make a profit of $111.000 before tax. Show all workings. [6 List three assumptions of CVP
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