Question

tutor Section B ANGIVER ALL CLESTIONS IN THIS SECTION Apo w er store located in Sunderland CIBO 000 per year and th e Soling price was 80 price and the busness sold 8.000 A had cose 25 of the OT mayb e one wyale PLCbg to expand of promotion tutoru AOA ALBU AP tutory effected 08 Anyonenwich medium by a omu r dicendu m gu in the same

Answer 1

6) Fixed Cost = 180000

Average selling Price = 80

Variable Cost = (2/5) × 80 = 32

Units sold = 8000

Revenue generated = 8000 × 80 = 640000

Total cost = Fixed cost + Variable cost

Thus total cost = 180000 + 32 × 8000 = 436000

Thus profit = 640000 - 436000 = 204000

7) Public limited company can sell their shares to raise funds from the market and there shares are listed in foreign exchange. The owners of PLC main motive is to raise profits and reduce cost. They try to raise profit by launching new products into the market. The major objective behind earning higher profit such that they can pay huge dividends to their shareholders.