A local company assembling stereo radio cassette produces 312 units per month at a cost of Php 800 per unit. Each stereo radio cassette sells for Php 1,200. If the firm makes a profit of 10% on its 10,000 shares with a par value of Php 200 per share, and the total fixed cost is Php 21,000 per month. What is the breakeven point and how much is the loss or profit if only 100 units are produced in given month?
A local company assembling stereo radio cassette produces 312 units per month at a cost of Php 800 per unit. Each stereo radio cassette sells for Php 1,200. If the firm makes a profit of 10% on its 10,000 shares with a par value of Php 200 per share, and the total fixed cost is Php 21,000 per month. What is the breakeven point and how much is the loss or profit if only 100 units are produced in given month?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Transcribed Image Text:A local company assembling stereo radio cassette produces 312 units per month at a cost of Php 800
per unit. Each stereo radio cassette sells for Php 1,200. If the firm makes a profit of 10% on its 10,000
shares with a par value of Php 200 per share, and the total fixed cost is Php 21,000 per month. What
is the breakeven point and how much is the loss or profit if only 100 units are produced in given
month?
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