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Honda Motor Plant has a production capacity of 700 units per month and its fixed cost is PHP 100M monthly. The variable cost per unit
Honda Motor Plant has a production capacity of 700 units per month and its fixed cost is PHP 100M monthly. The variable cost per unit is PHP 300,000 and each unit can be sold for PHP 650,000. Due to the cost reduction program, fixed cost will be reduced by 10% and variable cost by 20%. Determine the new and old break-even point. Graph the break-even chart.
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