REQUIRED:(i) compute the break even points in units and tshs. For each water filters.(ii) compute the margin of safety in unity and tshs. For each type of filter if a total of 21000 units are sold anualy.

INDAA MAY 2071) - REVISED (a) Kangaroo Cooperative society manufactures and sells two types of water filters i.e high quality and low quality filters by suing its old equipment. The cost structure of the water filters are: Type of water filter High Quality Low Quality Selling price per unit 90,000 25,000 Variable costs per unit 80,000 20,000 The sales mix in units are in the ratio of 3:2 for high quality and low quality respectively. The fixed costs per annum are Tshs. 945,000,000. Laurian, Vicent CPA(T), MSc. @