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Answer ALL questions waltons Manufacturers commenced business 00 02 2020, we However, later in the vear the management and investors decided to of chairs with effect from eband to start to manufacture The budget preparation for ready commenced and the best w February 2021 are available. You ected to use the forecasts to undertake January 2021 and prepare un come statement using the artisti 2021 QUESTION 1 REQUIRED Use the information provided below to answer each of the following question indepe 11 Calculate the break-even value using the marginal income tati 1.2 The sales manager proposes a R2 per unit reduction in selling price with the expectation that this would increase sales by 2000 it is this a good idea Motivate your answer. 13 Determine the selling price per unit ita net profit of R486 000 is desired INFORMATION The following forecasts for January 2021 were provided by Waltons Manufacturers R100 000 RS RS Sales (36 000 units) Direct materials cost per unit Direct labour cost per unit Variable manufacturing overhead costs per unit Fixed manufacturing overheads Fored marketing and administrative costs Sales commission R2 R150 000 R1000 10 of sales QUESTION the income Statement of watons Manufacturers for the method FORMATION The following forecasts were obtained from the counting records of Walton Wanderers the month and 28 February 2021 toron rebruary 2021 Nil 25 000 units R300 R240 000 per month R42 Se price per unit Manufacturing costs: Fixed manufacturing costs Variable manufacturing costs per unit Marketing costs: Sales personnel's salaries and advertising Delivery costs Administration costs: R40 000 per month R5 per unit sold Salaries Other office costs R50 000 per month R4 per unit sold TOTAL: 20 MARKS