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QUESTION 5 (15 MARKS) Layar Timber and Design Sdn Bhd makes modern furniture. The company is famous for its aesthetic-looking rattan wardrobe that sells for
QUESTION 5 (15 MARKS) Layar Timber and Design Sdn Bhd makes modern furniture. The company is famous for its aesthetic-looking rattan wardrobe that sells for RM2,280 each. For the coming year, the management expects the overall fixed costs to total RM380,000 and variable costs to be RM1,100 per unit. Required: i. Compute break-even points in units using the equation. (CLO3:PLO8:04 / CLO3:PLO12:C4) ii. iii. Calculate the break-even point in ringgit using the contribution margin (CM) ratio. (CLO3:PL08:C4/CLO3:PLO12:C4) Determine the margin of safety percentage assuming actual sales are RM866,400. (CLO3:PLO8:04 / CLO3:PLO12:C4) If the company wishes to earn a net income of RM469,900, how much is the total sales to be generated? iv. (CLO3:PLO8:04 / CLO3:PLO12:04)
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