In a plant operating at 80% of its annual production capacity, gross profit is 2.35M. Cost of raw materials represent 40% of the total variable cost and is 80% of the fixed cost. Fixed cost is equivalent to 90% of the depreciation cost of the depreciable asset on the 7th year. Depreciable asset amount to 20M while the salvage value is 3M. The annual depreciation should not exceed or limited to a maximum amount of 2M for each year. If the annual plant Capacity is 0.5M kg. (Use sum of the years digit or declining balance method) Determine: - Break even point - Unit selling price - If the selling price will be increased to 15% and the fixed cost will increase by 10%, determine the new breakeven point. 5:50 PM V In a plant operating at 80% of its annual production capacity, gross profit is 2.35M. Cost of raw materials represent 40% of the total variable cost and is 80% of the fixed cost. Fixed cost is equivalent to 90% of the depreciation cost of the depreciable asset on the 7th year. Depreciable asset amount to 20M while the salvage value is 3M. The annual depreciation should not exceed or limited to a maximum amount of 2M for each year. If the annual plant Capacity is 0.5M kg. (Use sum of the years digit or declining balance method) Determine: - Break even point - Unit selling price - If the selling price will be increased to 15% and the fixed cost will increase by 10%, determine the new breakeven point. 5:50 PM V