7. TSR Ltd. sells bicycles of two varieties- ladies and gents. Details are as follows: Product Type Ladies Bicycle Gents Bicycle Sales Price Invoice cost Sales Commission 1,000 550 50 600 270 30 70% of the shop's sales is gents bicycle. The shop's annual fixed expenses are Rs.1,48,500. Calculate the break even sales volume in units and Rs. How many bicycles of each type should be sold to earn a target net income of Rs.99,000/- Assume a constant sales mix.
7. TSR Ltd. sells bicycles of two varieties- ladies and gents. Details are as follows: Product Type Ladies Bicycle Gents Bicycle Sales Price Invoice cost Sales Commission 1,000 550 50 600 270 30 70% of the shop's sales is gents bicycle. The shop's annual fixed expenses are Rs.1,48,500. Calculate the break even sales volume in units and Rs. How many bicycles of each type should be sold to earn a target net income of Rs.99,000/- Assume a constant sales mix.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:7. TSR Ltd. sells bicycles of two varieties- ladies and gents. Details are as follows:
Product Type
Ladies Bicycle
Gents Bicycle
Sales Price
Invoice cost
Sales Commission
1,000
550
50
600
270
30
70% of the shop's sales is gents bicycle. The shop's annual fixed expenses are Rs.1,48,500.
Calculate the break even sales volume in units and Rs.
How many bicycles of each type should be sold to earn a target net income of Rs.99,000/- Assume a
constant sales mix.
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