The profit and total cost of a company during two years were as follows: Year 2076 2077 Total Cost Rs 400,000 Rs 600,000 Profit Rs 50,000 Rs 100,000…
BBS Cost and Management Accounting · 2080 · Solved Question with Answer
The profit and total cost of a company during two years were as follows:
| Year | 2076 | 2077 |
| Total Cost | Rs 400,000 | Rs 600,000 |
| Profit | Rs 50,000 | Rs 100,000 |
Required :
-r.r. Profit volume ratio
-b-r. Total fixed cost
-c-r. Break-even point in Rs.
-d-. Sales to make a profit of Rs. 75,000 after tax: The corporate tax rate is 25%
-e.- Margin of safety if the profit of Rs. 125,000 is earned [10]