A company expects to sell 30,000 units of a product next year. Variable production cost is ₱25 and variable selling costs is 40% of the selling price. Fixed expenses are ₱650,000 per year. The firm set a target profit after tax of ₱250,000. Tax rate is 25%. Based on the information, the unit selling price should be?
A company expects to sell 30,000 units of a product next year. Variable production cost is ₱25 and variable selling costs is 40% of the selling price. Fixed expenses are ₱650,000 per year. The firm set a target profit after tax of ₱250,000. Tax rate is 25%. Based on the information, the unit selling price should be?
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter16: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 36P: Faldo Company produces a single product. The projected income statement for the coming year, based...
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A company expects to sell 30,000 units of a product next year. Variable production cost is ₱25 and variable selling costs is 40% of the selling price. Fixed expenses are ₱650,000 per year. The firm set a target profit after tax of ₱250,000. Tax rate is 25%. Based on the information, the unit selling price should be?
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