Question 4Palladium (Pty) Ltd has given you the following information relating to normal (budgeted)information and its expected promotional information:Normal DataWeekly sales (units)Normal variable cost per unitContribution margin %Palladium (Pty) Ltd would like to boost the sales of its products and predicts that by applying apromotional discount of 20% to its product and incurring an additional fixed cost of R250 000, unit150 000RO,3080%will be 2 and a halfhigher than normal sales. Normal variable cost per nit is expectedto remain the same for the promotional period. The promotional period is expected to last six (6)weeks.REQUIRED:Q.4.1 Calculate the incremental profit (loss) that may arise from the promotion.

Palladium (Pty) Ltd has given you the following information relating to normal (budgeted) information and its expected promotional information: Normal Data Weekly sales (units) Normal variable cost per unit Contribution margin % 150 000 R0,30 80% Palladium (Pty) Ltd would like to boost the sales of its products and predicts that by applying a

Palladium (Pty) Ltd has given you the following information relating to normal (budgeted) information and its expected promotional information: Normal Data Weekly sales (units) Normal variable cost per unit Contribution margin % 150 000 R0,30 80% Palladium (Pty) Ltd would like to boost the sales of its products and predicts that by applying a

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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