Ahmad sells Satay Johor during the 15". Convocation fiesta at UTHM. He sets up the stall by himself, his son and one of his workers. The costs included are the rent of the stall which cost about RM400 per day, salary of the workers, RM100 per day, and the raw Satay which cost about 20 cents per stick. (а) Explain the implicit cost involved in this case. (b) Identify the fixed cost and variable cost respectively. If Ahmad sells Satay Johor at 40 cents per stick, how many sticks are needed to be sold per day in order to achieve the breakeven point? (c)

Ahmad sells Satay Johor during the 15". Convocation fiesta at UTHM. He sets up the stall by himself, his son and one of his workers. The costs included are the rent of the stall which cost about RM400 per day, salary of the workers, RM100 per day, and the raw Satay which cost about 20 cents per stick. (а) Explain the implicit cost involved in this case. (b) Identify the fixed cost and variable cost respectively. If Ahmad sells Satay Johor at 40 cents per stick, how many sticks are needed to be sold per day in order to achieve the breakeven point? (c)

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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