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Q2. From the following particulars, you are required to calculate: 1. Profit Volume Ratio; 2. Break-even Point; 3. Profit when sale is Rs. 2,00,000:

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Q2. From the following particulars, you are required to calculate: 1. Profit Volume Ratio; 2. Break-even Point; 3. Profit when sale is Rs. 2,00,000: 4. Sales required to earn to earn a profit of Rs. 40,000: 5. Margin of safety in the 2nd year. YEAR SALES (Rs.) PROFIT(Rs.) 1 2,40,000 20,000 2,80,000 25,000 You may assume that the cost structure and selling prices remain constant in the two years. [10 Marks]

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