Question
JKL Ltd. presents the following budgeted information for the next financial year: Particulars Amount () Sales Revenue 25,00,000 Variable Costs 15,00,000 Fixed Costs 5,00,000 Desired
JKL Ltd. presents the following budgeted information for the next financial year:
Particulars | Amount (₹) |
Sales Revenue | 25,00,000 |
Variable Costs | 15,00,000 |
Fixed Costs | 5,00,000 |
Desired Profit | 2,50,000 |
- PREPARE the budgeted income statement.
- CALCULATE the break-even point in units.
- ANALYZE the impact on the break-even point if variable costs increase by 10%.
- EVALUATE the effect of increasing sales revenue by 5% on the desired profit.
- DISCUSS the role of budgeting in business planning and control.
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Horngrens Financial and Managerial Accounting
Authors: Tracie L. Nobles, Brenda L. Mattison, Ella Mae Matsumura
5th edition
9780133851281, 013385129x, 9780134077321, 133866297, 133851281, 9780133851298, 134077326, 978-0133866292
