Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

*Continue from previous question* 1. Plastica supplies eco-bag the brand name Packy. Its selling price is RM135 per unit and the variable cost for each

image text in transcribed

*Continue from previous question*

1. Plastica supplies eco-bag the brand name Packy. Its selling price is RM135 per unit and the variable cost for each unit is RM75. The fixed costs incurred for that particular month are as follows: RM Rental of machine 32,600 Workers' salaries 41,850 Delivery 37,750 c) Due to the recent reduction of petrol price, the logistic manager has estimated a decrease of 20% of its delivery cost starting from October 2020. At the same time, the price of Packy will also reduce to RM110 per unit. Calculate the new break even point for Packy in unit and RM. (7) d) Discuss how cost-volume-profit analysis could assist the management of Plastica in making decisions

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Accounting

Authors: Donald E. Kieso, Jerry J. Weygandt, And Terry D. Warfield

13th Edition

978-0470423684

Students also viewed these Accounting questions