Breakeven point, Managerial Accounting

A company manufactures a one product. Estimated cost data regarding this product and other information for the product and the company are as follows:

Sales price per unit Rs.2000

Total variable production cost per unit Rs1100
Sales commission (on sales) 5%
Fixed costs and expenses:
Manufacturing overhead Rs 27,99,36,000
General and administrative Rs 18,66,24,000
Effective income tax rate 40%

How many units must the company sell in the upcoming year in order to reach its breakeven point?  Show all workings.  Recalculate the breakeven point for Sales price per unit Rs 2750 and Variable Cost per unit Rs 1350.  Tax and Sales Commission rates remain unchanged

 

Posted Date: 3/23/2013 3:37:27 AM | Location : United States







Related Discussions:- Breakeven point, Assignment Help, Ask Question on Breakeven point, Get Answer, Expert's Help, Breakeven point Discussions

Write discussion on Breakeven point
Your posts are moderated
Related Questions
Let a quarry's cost function of producing Q tons of stone per hour be given by TC = Q 3 - 10Q 2 + 40Q + 25, so that marginal cost function is MC= 3Q 2 - 20Q + 40. (i) Find th

Saddle Point The saddle point in a payoff matrix is one which is the smallest value in its row and the largest value in its column. It is also termed as equilibrium point in th

What is your base rate for graduate level accounting? If I decide to use your service can the tutor and I speak via skype? I''m not located in the U.S.


1)Prepare a three (3) year forecast of estimated future cash flows for you company and give valid economic/business reasons for your projections. This means you will have a stateme

Stock turnover ratio  Meaning: this ratio establishes a relation ship between costs of goods sold and average inventory. Objective: the objective of component of this r

need help with a master budget and assumptions for project

A cash budget is one of the main important devices to plan and control cash payments and receipts. In preparation of a cash budget the subsequent points are considered. Cred

Extensions to Linear Programming In many real situations the solutions to linear programming models make sense only if they have integer values. Rounding off the linear programmi

The requirement for working capital fluctuates according the level of inventory, production, debtors and creditors etc. The working capital needs are not uniform during the year be