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How many should anchor corp sell to cover its cost

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Reference no: EM133164211

Question - Anchor Corp sells a master chef knives and has the following financial data for the year 2021

Sales price per Unit Rp. 2.500.000

Variable Cost per unit Rp. 1.500.000

Fixed cost Rp. 350.000.000

a. At the end of 2021, Anchor Corp managed to sell 300 knives calculate the profit/loss!

b. How many should Anchor Corp sell to cover its cost? (Show your work)

c. For 2022, Sales department suggest to increase advertisement cost to Rp. 50.000.000 that will increase sales quantity by 30% from last year. Should top management approve the sales department suggestion? Show your works and reason.

Reference no: EM133164211

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