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Selling Price R25 Variable Cost 15% of selling price Fixed Cost R120 000 Expected sales 25000 units a) Calculate the break-even point in units and

Selling Price R25

Variable Cost 15% of selling price

Fixed Cost R120 000

Expected sales 25000 units

a) Calculate the break-even point in units and the break-even value in Rand (5) b) Determine the margin of safety in units (3) c) What do you understand by the term break-even? (2)

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