Question
UESTION FOUR INFORMATION Marie Manufacturers plans to start Project Marie and the following information is applicable to the project for the first financial year: Estimated
UESTION FOUR INFORMATION Marie Manufacturers plans to start Project Marie and the following information is applicable to the project for the first financial year:
Estimated sales for the financial year 3500 units Selling price per unit. R4 000 Variable manufacturing costs per unit R2 700 Fixed manufacturing overheads. R1 400 000 Fixed selling and administrative expenses R600 000 Variable selling and administrative expenses per unit R300 REQUIRED Use the information provided below to calculate the following: Calculate Break-even quantity Calculate Break-even value Calculate the Expected total Marginal income and Net profit/loss.
Answer each of the following questions independently: Calculate the number units required to break-even if: the selling price is reduced by R400, and variable selling and administrative expenses are adjusted to 8% of sales.
Answer each question independently Suppose Marie Manufacturers wants to make provision for an increase of R70 800 in fixed manufacturing overheads and a decrease in variable manufacturing costs of R240 per unit. Taking these changes into account, calculate the new break-even value
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