Breakeven point, Managerial Accounting

Assignment Help:

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

 


Related Discussions:- Breakeven point

Trade credit, It is a spontaneous source of finance that is commonly extend...

It is a spontaneous source of finance that is commonly extended to business organization depending on the custom of the competition and trade prevailing within the organization and

Variables, Variables Unrestricted variable Yi can be expressed in terms...

Variables Unrestricted variable Yi can be expressed in terms of two non-negative variables by using the substitution: Yi = Yi' - Yi'', Yi', Yi'' ≥ 0 The substitution

International management challenges of globalization., what is the topic ab...

what is the topic about? what are the practical implications? what are the practical criticisms?

Process costing, I want some to solve my process costing problem solved

I want some to solve my process costing problem solved

Steps of graphic analysis, Steps of Graphic Analysis There are four ste...

Steps of Graphic Analysis There are four steps in using graph paper to study cost-volume relationships: Step 1: Compute the scale which you will use: Volume is considered

What do you understand by marging of safety, Question: (a) A retail sto...

Question: (a) A retail store wants to evaluate how many units it must sell in order to earn a profit of Rs 10000 per month if the price of the unit is Rs 300, the average varia

Explain performance budgeting according to seal and summers, Explain perfor...

Explain performance budgeting according to seal and summers According to seal and summers performance budgeting comprises three elements:  a) The result (final outcome)

Chapter 3, Cretin Enterprises uses a predetermined overhead rate of $21.40 ...

Cretin Enterprises uses a predetermined overhead rate of $21.40 per direct labor-hour. This predetermined rate was based on a cost formula that estimated $171,200 of total manufact

CPM @ pert, 2. Draw the network diagram for the following problem and indi...

2. Draw the network diagram for the following problem and indicate a sequence of plans that the company should want to consider in making a time-cost tradeoff. The company is not

Cost analysis., monetaryor non monetary which will arise as aresult of impl...

monetaryor non monetary which will arise as aresult of implemenntinng the project

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd