Question 1 Q Itd. prepared a budget of sales and costs at various levels of activity for the year ending December 31, 2021, but due to a fire most of the accounting data has been destroyed. The remaining data are as follows: Sales Level (units) Material cost Labour cost Overhead cost 18,000 24,000 $54,000 $72,000 45,000 57,000 35,100 44,100 The selling price is $8.75 per unit. Assume that fixed costs are the same within the range of 6,000 to 24,000 units. Required: a. Calculate the variable cost per unit and fixed cost for each element of cost and in total. (7 marks) b. Calculate the contribution margin per unit and contribution margin ratio. (2 marks) c. Calculate the breakeven point in units and in dollar value (4 marks) d. If the company wants to make a target profit of $24,075 how many units must be sold? (2 mark s) e. Prepare the income statement for Q Ltd. assuming 24,000 units are sold. (5 marks) f. Using Excel prepare a fully labelled conventional breakeven chart. (10 marks) Question 2 Speedy Ltd. manufactures and sells bicycles and is based in Jamaica. Speedy Ltd. does not sell its bicycles locally but exported 2,000 bicycles to the Eastern Caribbean. Speedy Ltd.'s board of directors is currently considering expanding into the Central American market. Using the same distribution channel employed in the Eastern Caribbean. The following are Speedy's expenses and selling price: Fixed cost of $150,000 Variable cost per unit 80% of selling price Selling price per bicycle $1,500 Required: a. Calculate the breakeven point in units and dollar value. (4 marks) b. Calculate the margin of safety in units. (2 marks) c. Prepare the income statement if 2,000 bicycles are sold (4 marks) d. Using Excel prepare a fully labelled conventional breakeven chart (10 marks) II III O T (