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please answer all parts Zayn Ltd. manufactures and sells a single product. The initial budget for the coming period is: The standard selling price is
please answer all parts
Zayn Ltd. manufactures and sells a single product. The initial budget for the coming period is: The standard selling price is RM90 per unit. Sales for the period are budgeted to be 800 units. The maximum manufacturing capacity for the period is 1,500 units. Two proposals have been put forward by management. 1) Reduce the selling price to RM80, which will enable 1,000 units to be sold. 2) Increase the selling price to RM95, which will enable 750 units to be sold. You are required to: (a) Calculate for the initial budget and each of the two proposals: (i) Profit ( 9 marks) (ii) Break-even points in units (3 marks) (iii) The amount of sales units required in order to eam a profit of RM18,000 for the period. (Work to the nearest whole unit). (5 marks) (b) Advise management as to the best course of action Step by Step Solution
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