A start-up company has the following expenses shown in Table Q1(b).Table Q1(b)NO.Rent = RM 1,100Utilities = RM 265Material and assembly = RM 12.65/unitMonthly labor = RM 625ACCOUNTING COSTS1234(i)If its product sells for RM 29.99/unit, calculate how many units must it sell tobreak even?Calculate how much worth of sales should his company obtain in order toreach break-even point?(ii)

Formula: Break even units = Fixed costs / Contribution margin

A start-up company has the following expenses shown in Table Q1(b). Table Q1(b) NO. Rent = RM 1,100 Utilities = RM 265 Material and assembly = RM 12.65/unit Monthly labor = RM 625 ACCOUNTING COSTS 1 2 3 4 If its product sells for RM 29.99/unit, calculate how many units must it sell to break even? (i)

A start-up company has the following expenses shown in Table Q1(b). Table Q1(b) NO. Rent = RM 1,100 Utilities = RM 265 Material and assembly = RM 12.65/unit Monthly labor = RM 625 ACCOUNTING COSTS 1 2 3 4 If its product sells for RM 29.99/unit, calculate how many units must it sell to break even? (i)

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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