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pany makes 1,500 units of a product for which the profitability statement is given below: Rs. Sales 1,20,000 Direct materials 30,000 Direct labour 36.000 Variable
pany makes 1,500 units of a product for which the profitability statement is given below: Rs. Sales 1,20,000 Direct materials 30,000 Direct labour 36.000 Variable OH 15,000 Subtotal varlable cost 81,000 Fixed cost 16,800 Total cost 97.800 Profit 22,200 After the first 500 units of production, the company has to pay a premium of Rs. 6 per unit towards overtime labour. The premium so pald has been included in the direct labour cost of Rs. 36,000 glven above. You are required to compute the Break-even point
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