Solution-Compute freedom peso sales that will yield a

Compute freedom peso sales that will yield a projected

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Reference no: EM132573707

                        Costs                 Total Annual Costs
                                                       that is variable
Direct Material         P400,000              100%
Direct Labor             360,000                 75
Manufacturing FOH      300,000                40
Selling and
Administrative Expenses        200,000              25

Question (a) Compute Freedom's unit selling price that will yield a projected 10% profit if sales are 40,000 units.

Question (b) Assume that management selects a selling price of P30.00 per unit. Compute Freedom's peso sales that will yield a projected 10% profit on sales, assuming the above variable-fixed costs relationship are valid.

Reference no: EM132573707

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Compute freedom peso sales that will yield a projected

Reference no: EM132573707

Reference no: EM132573707

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