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unting 3. of on The grills were sold 168 AE each and to produce one grill comprises 14AED for material, 20AED/per mini oven for direct labour, 42 AED/per grill for variable overhead. The budget for other costs incurred per month are in AED: indirect labour - 46,000; utilities - 11,000, product inspection 5,600, repairs - 12,000. The capacity is to produce 5000 mini ovens. Instructions: a) Express mathematically cost function of the expenses. Estimate the unit cost to produce one mini oven at full capacity for 5000 mini ovens.[2p] How are foxed cost per mini oven in BE point? ]1p] b) What is the contribution margin per mini oven and how much in revenue from mini ovens sales must be achieved to breakeven? [2p] c) Are we making a loss or profit selling 200 mini ovens or 900 mini ovens, determine how much using CM axiom.? i) 470 miniowens; ii) 1400 miniowens: [3p) d) How many mini ovens must be sold to achieve an operating profit of AED 320,000? [1pl e) What is the margin of safety ratio assuming 1100 mini ovens are sold? What does it mean? [1p] Is the performance of the division producing mini ovens sufficiently profitable, if the margin of safety ratio (MOS ratio) of division producing grills is 48%? (bonus point-2p] FORMULAS Carca Alinmitt (ROTALCM FORMULAS grills is 48%? [bonus point-2p) Target Ol in units (FC+TOI)/ CM Target Ol in Sales AED = (FC+TOI)/ CMR MoS ratio= MoS / Current Sales