mining company under a CVP analysis reveals a selling price of gold at US$55/g with the following information:

Cost element	Variable cost as a % of sales	Fixed cost USD
Direct material	34.6	-
Direct labour	25.4	-
Factory overheads	12.5	250000
Distribution overheads	4.5	80000
General admin. overheads	3.0	70000
Total	80	400000

The mining company has budgeted gold sales at 50 Kg

Determine:

(i) Break-even sales value

(ii) The profit at the budgeted sales volume

(iii) Profits if actual budgeted sales value drops by 20%

(iv) Profits if actual budgeted sales increase by 15%