Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

TSS Company manufactures and sells a specialized cordless telephone. The company's sales and expenses for last year are given below: Particulars Total (Tk) Per unit

image text in transcribed

TSS Company manufactures and sells a specialized cordless telephone. The company's sales and expenses for last year are given below: Particulars Total (Tk) Per unit (Tk) Sales 12,00,000 60 Less: Variable expenses 9,00,000 45 Contribution margin 3,00,000 15 Less: Fixed expenses 2,40,000 Net Operating Income 60,000 Requirements: a. Compute the company's contribution margin ratio? b. What is the break-even point in units sold and in sales Taka? C. Assume the management of the company wants to earn a profit of at least Tk 90,000. How many units and Taka have to be sold to meet this target profit? d. Calculate margin of safety in percentage and Taka

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions