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company has calculated its margin of safety as 20% on budgeted sales and budgeted sales are 5,000 units per month. What would be the budgeted
company has calculated its margin of safety as 20% on budgeted sales and budgeted sales are 5,000 units per month. What would be the budgeted fixed costs if the budgeted contribution was $25 per unit? Question Three H Limited manufactures and sells two products, J and K. Annual sales are expected to be in the ratio of J:1, K:3. Total annual sales are planned to be $420,000. Product J has a contribution to sales ratio of 40%, whereas that of product K is 50%. Annual fixed costs are estimated to be $120,000. Required The budgeted break-even sales value to the nearest $1,000) Question Four Z plc currently sells products Aye, Bee, and Cee in equal quantities and at the same selling price per unit. The contribution to sales ratios for products Aye is 40%; for product Bee is 50% and the total is 48%. If fixed costs are unaffected by mix and are currently 20% of sales, find the effect of changing the product mix to : Aye 40%; Bee 25%; and Cee 35% in the total Contribution/Total sales ratio
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