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CVP analysisConex Limited sells one product, Supercreme,a cream suitable for a variety offirst aiduses. Thecompany commenced operations earlier this year and expects to sell 100,000

CVP analysisConex Limited sells one product, Supercreme,a cream suitable for a variety offirst aiduses. Thecompany commenced operations earlier this year and expects to sell 100,000 tubes of Supercreme.The following information is available:Selling price per tube7.00Direct material cost per tube2.10Direct labour cost per tube1.35Variable overhead cost per tube0.75Total fixed costs for the year210,000Requireda)For Conex Limited, what is the Break-even point (BEP) in tubes and sales revenue?b)If the company wanted to earn a profit of 46,200 for the year how many tubes of Supercreme mustbe sold?c)By how much could expected sales revenue fall before Conex Limited starts to make a loss?

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