A telephone company have a production capacity of 500,000 units per month. At its present capacity of 3 50,000 units per month, the company have monthly income of ₱350,000,000. The company has a fixed cost of ₱100,000,000 per month and a variable cost of ₱200 per unit. a. What is the present profit or loss in millions of pesos? b. What is the break-even quantity? c. If the production is increased to 80% of its capacity, what is the profit or loss in millions of pesos?

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A: Selling price (P) = ₱100 Fixed cost (F) = ₱500000 Variable cost (V) = ₱40 Commission (C) = ₱5…

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A: Break-Even Point: It refers to a point of production at which there is no profit no loss.

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A: The target profit refers to the expected amount of profit that the entity wants to achieve. The…

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A: Break even point = Fixed cost / Contribution margin

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Q: Products?

A: Hello student! Break-Even Point (BEP) is the amount of sales in dollars or units where there is no…

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A: Break even means where there is no profit no loss. Break even point means where the total cost and…

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Q: Luxio Luxury Goods & Services Company's sales are ₱600,000, its fixed expenses are ₱150,000, and its…

A: Break even sales (in amount)=Fixed cost/contribution margin ratio