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U $12,500 Question # 2 break-even point a en point analysis (50.Point ILO's: B18B3 The Bahrain Company had the following functional in 2018: following functional
U $12,500 Question # 2 break-even point a en point analysis (50.Point ILO's: B18B3 The Bahrain Company had the following functional in 2018: following functional income statement for the month of July BD 2,100,000 Sales (BD70 x 30,000 units) Costs of goods sold: Direct materials Direct labour Variable factory overhead Fixed factory overhead Gross profit Selling and administrative expenses: Variable BD 100,000 70,000 220,000 150,000 540,000 BD 1,560,000 Fixed Operating income BD 40,000 100,000 140,000 BD 1,420,000 There were no beginning and ending inventories. Required: a) Calculate the contribution margin per unit. (5-Points). b) Calculate the contribution margin ratio. (5-Points). c) What is the break-even point in units? (15-Points). d) What is the break-even point in volume? (5-Points). e) Draw a break point for the company? (5-Points). f) What is the monetary amount of sales in needed to obtain 1,600,000? (5-Points). g) What is the monetary amount of sales in needed to ary amount of sales in needed to obtain after-tax profit of BD 1,900,000, if the tax ratio is 15%? (10-Points)
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