a) You have been given the following information on costs. Segregate them into fixedand variable elements. For each level of activity prepare a table to show:i. Total fixed costsii.iii.iv.V.Fixed costs per unitTotal variable costsVariable cost per unitCalculate the minimum selling price per unit the company should chargeto Break Even in month five (5) assuming production was increasing thesame rate as the three months given.The information is as below:Month Units110002320003000Total costsK1,000,000K1,200,000K1,600,000

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a) You have been given the following information on costs. Segregate them into fixed and variable elements. For each level of activity prepare a table to show: i. ii. iii. iv. Total fixed costs Fixed costs per unit Total variable costs Variable cost per unit V. Calculate the minimum selling price per unit the company should charge to Break Even in month five (5) assuming production was increasing the same rate as the three months given. The information is as below: Month Units 1 1000 2000 3000 2 3 Total costs K1,000,000 K1,200,000 K1,600,000

a) You have been given the following information on costs. Segregate them into fixed and variable elements. For each level of activity prepare a table to show: i. ii. iii. iv. Total fixed costs Fixed costs per unit Total variable costs Variable cost per unit V. Calculate the minimum selling price per unit the company should charge to Break Even in month five (5) assuming production was increasing the same rate as the three months given. The information is as below: Month Units 1 1000 2000 3000 2 3 Total costs K1,000,000 K1,200,000 K1,600,000

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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