Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Financial Accounting Expert

Phonetex Plc manufactures and sells Ipads. The given details were extracted from its approved Budget for the Year ending 31st December 2013:

1691_budget details.jpg

There was no opening Inventory and it is expected which all units to be manufactured would be sold by the end of the year under review.

Required:

1) By using the above information, compute the given:

a) The Contribution to Sales Ratio.
b) The Break Even Point both in Units and Value.
c) The Margin of Safety as a Percentage.
d) The expected Net Profit or Loss for the Year.

2) If the Company targets a Post Tax Profit of Rs.4,000,000, the Fixed Costs would raise by 10% while the Variable costs would remain unaffected. Compute the number of units to be manufactured and sold to reach the expected target profit. Suppose Tax rate to be 20% and Production Capacity exists. (Give your answer to the closest unit).

Financial Accounting, Accounting

  • Category:- Financial Accounting
  • Reference No.:- M96947

Have any Question? 


Related Questions in Financial Accounting

Problem 1on january 1 2010 branson designers issued 900

Problem 1 On January 1, 2010, Branson Designers issued $900 Million of its 8% bonds $836 million. The bonds were then prices to yield 10%. The interest will be payable on June 30 and December 31. Branson records interest ...

John rogers has been hired by a condominium association to

John Rogers has been hired by a condominium association to take over its management. The previous management company had written the contract so that it would be paid a percentage of the unit owner’s monthly common area ...

Assignmentan economist was interested in modeling the

Assignment An economist was interested in modeling the relationship among annual income, level of education, and work experience. The level of education is the number of years of education beyond eighth grade, so 1 repre ...

1 discuss your understanding of how distributive justice

1. Discuss your understanding of how distributive justice affects a healthcare organization. 2. In NO MORE than 3 sentences, explain how the restaurant industry innovates without any serious government support. 3. What a ...

What does it mean to be jewish today select one of the

What does it mean to be Jewish today? Select one of the major branches of this faith—Orthodox, Reform, Conservative, Reconstructionist—and answer this question from the perspective of that group. Post must be at least 30 ...

Assignmentsqueezed by rising costs a confectioner struggles

Assignment Squeezed by Rising Costs, a Confectioner Struggles to Cope Telford James and his wife Ivey are the second-generation owners of James Confectioners, a family-owned manufacturer of premium chocolates that was st ...

1 several people claim that letters of credit will soon be

1. Several people claim that letters of credit will soon be replaced by the concept of TradeCard. What is this product, and why do those people think it has such a bright future? 2. There are three types of hedges that a ...

Assignemnta explain the term bank reconciliation and state

Assignemnt (a) Explain the term "bank reconciliation" and state the reasons for its preparation. (b) Ssemakula, a sole trader received his bank statement for the month of June 2001. At that date the bank balance was Sh. ...

Assignmentin a survey 24 it professionals in chicago were

Assignment In a survey, 24 IT professionals in Chicago were asked how much their annual salary was for the year 2012. The results are shown below: $109,000 $ 65,000 $ 65,000 $ 59,000 $ 180,000 $ 101,325 $ 130,000 $95,000 ...

1 distinguish groupthink with managing agreement how are

1. Distinguish groupthink with managing agreement. How are these two concepts? similar? 2. Give multiple examples of the advantages and disadvantages associated with? cross-functional teams.

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro