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Estimatimated sales for the year 2015 -7000 units at R40 each

Estimated costs for the year 2015-

Direct materials -R12 per unit

Credit labour- R2 per unit

Factory over heads (allfixed)-R24000 per annum

Selling expense -30% of sales

Administrative expenses (all fixed)-R32000 per annum

Question is?

Calculate the selling price per unit if the profit per unit is R2?

Calculate the new break -even quantity and value selling price is decreased by 10%?

 

 

Accounting Basics, Accounting

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