Assume a company produces one product that sells for P55, has variable cost per unit of P35, and has fixed costs of P100,000. How many units must the company sell to earn a target profit of P50,000? 18. Given the same facts as in question 17 above, if the company exactly meets its target profit, what will be its margin of safety in sales revenue?

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A: As new enterprises enter the market, prices decrease, and profits fall, the supply curve shifts to…

Q: Question 2: Muscat Company has the following information. OMR Fixed Cost 8750 Break even Sales 16000…

A: Break Even Point - It is a point where, total cost and total revenue of the company will equal. This…

Q: XYZ Co. has a contribution margin of $450,000 and profit of $150,000. If sales increase 20%, by how…

A: The contribution margin is calculated after deducting the variable cost from the revenue.

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A: The Gross Profit Margin is a financial metric used to assess a company's financial health and…

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A: Current Profit   Calculation Particular Amount       A Sales 300,000 B Variable cost…

Q: Kappa Inc. produces a product that has a variable cost of $8/unit. The company's fixed costs are…

A: Solution: Contribution margin per unit = sales price - variable cost = 12 - 8 = $4 per unit Break…

Q: Company XYZ is producing and selling 2,500. At this level, the selling price per unit is $10, the…

A: Profit: It can be defined as the excess of a company's sales revenue over the total costs incurred…

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A: The break even sales are calculated as fixed costs divided by contribution Margin Ratio. The…

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A: There is ratio called combined leverage which is the ratio of % change in EPS with respect to %…

Q: Harold McWilliams owns and manages a general merchandise store in a rural area of Virginia. Harold…

A: Margin of safety is the difference between total sales revenue and the break-even point in sales…

Q: Question 2: Muscat Company has the following information. OMR 8750 Break even Sales 16000 Fixed Cost…

A: The break even sales are the sales where business earns no profit no loss during the period.

Q: XYZ Co. has a contribution margin of $450,000 and profit of $150,000. If sales increase 30%, by how…

A: Contribution margin can be defined as the difference between the total revenues and total variable…

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A: Cost volume profit analysis is the technique used by management for decision-making. The methods…

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A: The variance is calculated by taking the difference between two costs or volumes.

Q: 43) Determine the break-even point of sales if: Sales is $100,000, Variable cost is $ 50,000 and…

A: From the given information, Contribution margin percentage = Sales-Variable…

Q: XYZ Company wishes to gain more market share. In order to do that, the company is planning to double…

A: Sales:-It is the grand total sales obtained by adding and subtracting all related discounts and…

Q: XYZ Co. has a contribution margin of $450,000 and profit of $150,000. If sales increase 10%, by how…

A: 1. FIXED EXPENSES : = $450,000 - $150,000 = $300,000   2. NEW CONTRIBUTION MARGIN IF SALE INCREASE…

Q: Given that sales are R5000000, Gross profit is R1 500 000. Therefore, cost of sales is R 2500000.…

A: The cost of sales can be calculated by deducting the gross profit from the sales revenue.

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A: Sales = Total cost +Profit

Q: Assuming that the amount of fixed costs is expected to remain at P190,000 for 2021. and the sales…

A: An income statement is concerned with operations of a business expressed in expense and income and…

Q: amount of profit

A: Total Fixed cost = OMR 40000 Selling price per unit = OMR 20 Total Sales = OMR 120000 Number of…

Q: 17-Assume that in one of the written test of your interview, the following question has been asked.…

A: Sales revenue: It is the revenue earned by an organization on selling the products to the outsiders.…

Q: The margin of safety in the Flaherty Company is $28,400. If the company's sales are $129,000 and its…

A: Break even sales = Total Sales - Margin of safety salesTherefore, we can get fixed cost by reducing…

Q: A firm has selling price of Rs. 30 per unit, variable cost Rs. 22 per unit and fixed cost of Rs.…

A: New selling price = Rs. 30 + Rs. 30 x 6% = Rs. 31.8 per unit Variable cost per unit = Rs. 22 per…

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A: Break-even point (BEP): Breakeven is the point where total expenses are equal to total revenue. at…

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A: Break-even analysis is a technique widely used by the production department. It helps to determine…

Q: 21-Suppose you have attended an interview in Sohar SAOG, and the interviewer provide you the…

A: The break even sales are calculated as fixed cost divided by contribution margin ratio.

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A: Note: Hi! Thank you for the question As per the honor code, We’ll answer the first question since…