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STI BM1915 NAME: DATE: SCORE: ACTIVITY XYZ Company plans to introduce a new product in August. Information on selling price and related costs for the
STI BM1915 NAME: DATE: SCORE: ACTIVITY XYZ Company plans to introduce a new product in August. Information on selling price and related costs for the new product is shown below. Selling price per unit P36.00 Variable cost per unit: Direct materials 15.00 Direct labor 9.00 Manufacturing overhead 4.00 Sales commission 2.00 Monthly fixed costs: Manufacturing overhead P40,000 Administrative cost 32,000 Actual units produced 15,000 Required: a. Break-even point in units b. Break-even point in pesos C. Margin of safety in units d. Margin of safety in pesos e. Desired sales in units to earn a profit of P12,000 f. Desired sales in pesos to earn a profit of P12,000
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