18) | Option [d] | |
19) | Number of units required = (72000+30000)/(10-4) = | 17000 |
Option [b] | ||
20) | Option [d] Variable cost |
MULTIPLE CHOICES I8 Which of the following statements is vw approach to investment appraisal? ล. Break-even...
I8 Which of the following statements is vw approach to investment appraisal? ล. Break-even innalysis isused 1o find ont how far off the ostimates could be b. The marginal cost of sales will have to be incurred whether the goods are c Order mayb d. Marginal costing can help management to decide on pricing policy, the f before the project begins to lose money manufactured or purchased, so we can ignore the marginal cost of sales result in further contribution...
18. Which of the following statements is wrong regarding the break-even analysis approach to investment appraisal? a. Break-even analysis is used to find out how far off the estimates could be before the project begins to lose money b. The marginal cost of sales will have to be incurred whether the goods are c. Order maybe accepted below the normal selling price when the order will d. manufactured or purchased, so we can ignore the marginal cost of sales. result...
18-Which of the following statements is wrong regarding the approach to investment appraisal? a Break-even analysis is used to find out how far off the estimates could be before the project begins to lose money b. The marginal cost of sales will have to be incurred whether the goods are manufactured or purchased, so we can ignore the marginal cost of sales. e. Order maybe accepted below the normal selling price when the order will result in further contribution to...
19. The following information relates to a product Fixed costs Required profit Selling price per unit Variable cost per unit 72000 30000 10 4 How many units must be produced and sold to cover fixed costs and make the required profit? a 12000 b. 17000 c. 18000 d. 25500 20. A company is classifying its costs. It discovers that for any level of output between 10000 and 15000 units the freight cost per unit is always the same figure of...
19. The following information relates to a product Fixed costs Required profit Selling price per unit Variable cost per unit 72000 30000 10 4 How many units must be produced and sold to cover fixed costs and make the required profit? a 12000 b. 17000 c. 18000 d. 25500 20. A company is classifying its costs. It discovers that for any level of output between 10000 and 15000 units the freight cost per unit is always the same figure of...
19. The folowing information relates to a product. Fixed costs Required profit Selling price per unit Variable cost per unit 72000 30000 10 4 How many units must be produced and sold to cover fixed costs and make the required profit? a. 12000 b. 17000 c. 18000 d. 25500
Activity 13.3 - Price Calculation – Breakeven Pricing Often a firm will calculate the break-even point for a price. That is, if we set the price at $X, then how many units will we need to sell to cover costs (that is, our break-even point). Work through the following two examples to gain a better understanding of this approach. Fixed Costs = $10,000 Variable Costs = $10 Using break-even analysis calculate: 1. How many units need to be sold to...
Break Even = BE Cost of Goods Sold Per Unit = CGS Operating Expenses = OE Price = P Gross Margin Per Unit = GM *This number represents the amount of money per unit that can be used to contribute to cover fixed costs and add to profit. BE = OE / (P-CGS) GM = (P-CGS) Use this formula to check your answers Revenue = Expenses Revenue = (PRICE * Quantity) Expenses = (Fixed Costs + (CGS * Quantity) ------------------------------------------------------------------------------------------------------------...
Could someone answer for me this question
Break-Even Analysis You are employed by Monarch Ltd which manufactures specialist hydraulic seals for the aircraft industry. The company has developed a new seal with the following budged data. Variable cost per unit Direct Materials Direct Labor Variable Overheads The draft budget for the following year is as follows: Production and Sales 60,000 units Fixed costs: Production 260,000 Administration 90,000 Selling, marketing and distribution 100,000 Contribution 840,000 Certain departmental managers within the company...
CH4 KB. Which of the following is not used in determining the break-even point? Selling price per unit Total fixed costs Anticipated sales for the next period Variable cost per unit