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6 Three production processes - A, B, and C - have the following cost structure:​   the selling price is 6.22 per unit Process Fixed Cost per Year Variable Cost per Unit A 109532            3.83 B 86834  4.29 C 87149  4.41  How many units per year must be sold with process C  to have annual pre-tax profits of 42743 if the selling price is 6.22 per unit? (Round to the nearest integer).   7 Considering the  pre-tax profits per period , what is the break-even volume for process A? (Round to the nearest integer). 8 Considering the  pre-tax profits per period , What is the break-even volume for process B? (Round to the nearest integer).

6 Three production processes - A, B, and C - have the following cost structure:​   the selling price is 6.22 per unit Process Fixed Cost per Year Variable Cost per Unit A 109532            3.83 B 86834  4.29 C 87149  4.41  How many units per year must be sold with process C  to have annual pre-tax profits of 42743 if the selling price is 6.22 per unit? (Round to the nearest integer).   7 Considering the  pre-tax profits per period , what is the break-even volume for process A? (Round to the nearest integer). 8 Considering the  pre-tax profits per period , What is the break-even volume for process B? (Round to the nearest integer).

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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6

Three production processes - A, B, and C - have the following cost structure:​

 

the selling price is 6.22 per unit

Process

Fixed Cost

per Year

Variable Cost

per Unit

A

109532 

           3.83

B

86834 

4.29

C

87149 

4.41 

How many units per year must be sold with process C  to have annual pre-tax profits of 42743 if the selling price is 6.22 per unit? (Round to the nearest integer).

 

7

Considering the  pre-tax profits per period , what is the break-even volume for process A? (Round to the nearest integer).

8

Considering the  pre-tax profits per period , What is the break-even volume for process B? (Round to the nearest integer).

9

 

 

 

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