During the last quarter a company had a bad sales and it's budgeted results are as given below: Product A: sales =2,50,000, PV ratio=50% Product B: sales =4,00,000, PV ratio=40% Product C: sales =6,00,000, PV ratio=30% Overheads-fixed is 5,02,200 Director of the company wants to identify the cause and have a detailed statement of amount of loss and recommendation of sales in each of the products as well as in total sales while maintaining same level of sales mix which will ultimately results in eliminating the loss.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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During the last quarter a company had a bad sales and it's budgeted results are as given below:
Product A: sales =2,50,000, PV ratio=50%
Product B: sales =4,00,000, PV ratio=40%
Product C: sales =6,00,000, PV ratio=30%
Overheads-fixed is 5,02,200
Director of the company wants to identify the cause and have a detailed statement of amount of loss and recommendation of sales in each of the products as well as in total sales while maintaining same level of sales mix which will ultimately results in eliminating the loss.

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