IUM City Campus budget its costs and revenue for rental of PA system for the next

financial period as follows:

For the period concerned the budgeted fixed overhead is $N$$$14000$ and the

budgeted sales based on $10$ events.

Required:

Calculate the followings:

$($a$)$ Calculate variable cost per unit and profit per unit

$($b$)$ Break$-$even point in units and dollars

$($c$)$ The margin of safety in units and dollars

$($d$)$ Sales $($events$)$ required to achieve a profit of $N$$$7000$

$($e$)$ What are assumptions of Break$-$eve analysis