QUESTION 1

A Company manufactures and sells one product. The product has the following cost and revenue data:

Selling price Per Unit (AED)	70
Variable cost Per Unit (AED)	30

Total fixed expenses per month are as follows:

Expenses types	AED
Advertising	231165
Rent	100,000
Heating	100,000

The company produced and sold 10,000 units during the month and had no beginning or ending inventories.

What is the break-even value in Dirhams?

QUESTION 2

A Company manufactures and sells one product. The product has the following cost and revenue data

Selling price Per Unit (AED)	88
Variable cost Per Unit (AED)	30

Total fixed expenses per month are as follows:

Expenses types	AED
Advertising	372923
Rent	100,000
Heating	100,000

The company produced and sold 10,000 units during the month and had no beginning or ending inventories.

How many units would the company have to sell to have a profit of AED 120,000?

QUESTION 3

A Company manufactures and sells one product. The product has the following cost and revenue data:

Selling price Per Unit (AED)	84
Variable cost Per Unit (AED)	38

Total fixed expenses per month are as follows:

Expenses types	AED
Advertising	200,000
Rent	100,000
Heating	100,000

The company produced and sold 10,000 units during the month and had no beginning or ending inventories.

If the sales increase by 200 units, by how much well the net operating income (profit) increase?

AED is a currency, u can totally ignore that!