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Written Questions Question 1. The management of Zenith plc are to assemble a new computer aimed at the business market. The forecast cost structure for
Written Questions Question 1. The management of Zenith plc are to assemble a new computer aimed at the business market. The forecast cost structure for producing this new computer is as follows: Materials Component A $150 per unit. Materials Component B $300 per unit. Labour Labour is paid on a piecework basis of $100 per unit. Fixed Overheads For activity between zero and 80,000 units per annum the expected cost is $5.8 million. Sales It is expected that the selling price will be $710 per computer. Required: 1. Determine the profit when producing 0, 30,000, 40,000, and 80,000 units per annum. 2. Calculate the break-even point
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