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Enola, SA. manufactures a product that sells for R400. The variable costs per unit are as follows: During the year, the budgeted fixed manufacturing overhead
Enola, SA. manufactures a product that sells for R400. The variable costs per unit are as follows: During the year, the budgeted fixed manufacturing overhead is estimated to be R500,000, and budgeted fixed selling and administrative costs are expected to be R250,000. Variable selling costs are R20 per unit. Required: Determine the break-even point in units. Determine the number of units that must be sold to earn R300,000 in profit before taxes. Determine the number of units that must be sold to generate an after-tax profit of R90,000 if there is a 40 percent tax rate
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