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QUESTION 4 The following details relate to two companies: Rock J Ltd Jets Ltd Jets Ltd Sales 1,700,000 1,700,000 Fixed costs 85.000 34,000 Variable costs

QUESTION 4

The following details relate to two companies:

Rock J Ltd Jets Ltd Jets Ltd

Sales 1,700,000 1,700,000

Fixed costs 85.000 34,000

Variable costs 34,000 85,000

Required:

(a) Calculate the Break Even Point for each company. (15 Marks)

(b) State the five advantages and disadvantages

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