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Unable to meet demand for its products, Em Bagus Enterprise invested in new equipment for 2023. Below are the budgeted figures under the production facilities
Unable to meet demand for its products, Em Bagus Enterprise invested in new equipment for 2023. Below are the budgeted figures under the production facilities expansion:
| RM | RM |
Sales |
| 2,400,000 |
Less: Variable expenses | 720,000 |
|
Fixed expenses | 1,400,000 |
|
Net profit |
| 280,000 |
Required:
ii. Determine the sales required if the business is to make a net profit
that gives a return of 30% on sales.
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