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Question 1 Somuah Ltd manufactures and sells a single product which has the following cost and selling price Structure: GH per unit GH per unit

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Question 1 Somuah Ltd manufactures and sells a single product which has the following cost and selling price Structure: GH per unit GH per unit Selling price 900 Direct material 180 Direct Labour Variable Overhead Fixed Overhead 150 Total fixed overheads is GHS400, 000 and budgeted sales for the next month are 7,500 units. You are required to calculate a) The breakeven point in sales units and value b) The margin of safety for the next month in units and percentage c) The contribution to sales ratio d) The budgeted profit for the next month e) The sales units and value required to achieve a targeted profit of 300,000 195 255

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