Question $1(10$ Marks$)$

Use the information provided in the table below to answer the given questions

Selling Price R$20$

Variable Cost $25\%$ of selling price

Fixed Cost R$150000$

Expected sales $20000$ units

a$)$ Calculate the break$-$even point in units and the break$-$even value in Rand

b$)$ Determine the margin of safety in units

c$)$ What do you understand by the term break$-$even?