A small manufacturing operation can produce a certain producd thất sl The variable cost per unit is P36, and the fixed cost per week is P5,600. (a) How many units must sell per week to break even? (b) Determine the firm's weekly profit or loss if sells 340 units.
A small manufacturing operation can produce a certain producd thất sl The variable cost per unit is P36, and the fixed cost per week is P5,600. (a) How many units must sell per week to break even? (b) Determine the firm's weekly profit or loss if sells 340 units.
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
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Transcribed Image Text:Enrichment Exercise 8.2
1. A small manufacturing operation can produce a certain product that sells for P64 per
The variable cost per unit is P36, and the fixed cost per week is P5,600. (a) How many
units must sell per week to break even? (b) Determine the firm's weekly profit or loss if it
unit.
sells 340 units.
2. A professional organization is planning the annual general meeting. A hall can be rented
for P27,000. A food caterer has quoted a price of P250 per person for the dinner. The
organizers think of charging P430 per attendee. (a) Calculate the number of tickets tha
need to be sold to break even. (b) What will be the profit or Joss if there will be 1
attendees?
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