The sales revenue and total cost of a manufacturing company for two years were as follows: Year Sales revenues Total Cost I Rs. 450,000 Rs. 400,000…
BBS Cost and Management Accounting · 2082 · Solved Question with Answer
The sales revenue and total cost of a manufacturing company for two years were as follows:
| Year | Sales revenues | Total Cost |
| I | Rs. 450,000 | Rs. 400,000 |
| II | Rs. 700,000 | Rs. 600,000 |
Required:
a. Profit volume ratio
b. Fixed cost
c. Break-even point in Rs.
d. Break-even point in units if selling price per unit is Rs. 10
e. Sales to earn desired profit after tax of Rs. 75,000 if tax rate is 25%
f. Profit when sales are Rs. 80,000
g. Margin of safety if profit is Rs. 125,000