QUESTION 3 REQUIRED Study the information provided below and calculate the following independently: 3.1. Total Marginal Income and Net Profit/Loss 3.2 3.3 Break-even value Margin of safety (expressed in units) if the budgeted sales volume is 10% below the forecasted figure. INFORMATION Ascot Ltd manufactures shirts. The following information was extracted from the budget for the month ended 28 February 2023: Sales Selling price per unit Direct material cost per unit Direct labour cost per unit Variable manufacturing overhead costs per unit Sales commission Fixed manufacturing overhead costs Fixed selling and administrative costs 50 000 units R100 R30 R18 R7 R5 per unit sold R400 000 R200 000
QUESTION 3 REQUIRED Study the information provided below and calculate the following independently: 3.1. Total Marginal Income and Net Profit/Loss 3.2 3.3 Break-even value Margin of safety (expressed in units) if the budgeted sales volume is 10% below the forecasted figure. INFORMATION Ascot Ltd manufactures shirts. The following information was extracted from the budget for the month ended 28 February 2023: Sales Selling price per unit Direct material cost per unit Direct labour cost per unit Variable manufacturing overhead costs per unit Sales commission Fixed manufacturing overhead costs Fixed selling and administrative costs 50 000 units R100 R30 R18 R7 R5 per unit sold R400 000 R200 000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![QUESTION 3
REQUIRED
Study the information provided below and calculate the following independently:
3.1. Total Marginal Income and Net Profit/Loss
3.2
3.3
Break-even value
Margin of safety (expressed in units) if the budgeted sales volume is 10% below the
forecasted figure.
INFORMATION
Ascot Ltd manufactures shirts. The following information was extracted from the budget for the month ended
28 February 2023:
Sales
Selling price per unit
Direct material cost per unit
Direct labour cost per unit
Variable manufacturing overhead costs per unit
Sales commission
Fixed manufacturing overhead costs
Fixed selling and administrative costs
50 000 units
R100
R30
R18
R7
R5 per unit sold
R400 000
R200 000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F905c94b6-664c-48ad-8fe9-215e75e9e3cc%2F8527e12a-970c-447e-b8b1-674244c37458%2Fq2jadut_processed.png&w=3840&q=75)
Transcribed Image Text:QUESTION 3
REQUIRED
Study the information provided below and calculate the following independently:
3.1. Total Marginal Income and Net Profit/Loss
3.2
3.3
Break-even value
Margin of safety (expressed in units) if the budgeted sales volume is 10% below the
forecasted figure.
INFORMATION
Ascot Ltd manufactures shirts. The following information was extracted from the budget for the month ended
28 February 2023:
Sales
Selling price per unit
Direct material cost per unit
Direct labour cost per unit
Variable manufacturing overhead costs per unit
Sales commission
Fixed manufacturing overhead costs
Fixed selling and administrative costs
50 000 units
R100
R30
R18
R7
R5 per unit sold
R400 000
R200 000
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