ERD Company manufactures and sells two types of beach towels, standard and deluxe. ERD expects the following operating results next year for each type of towel: StandardDeluxeSalesP450,000P50,000Variable expenses (total)P360,000P20,000If ERD expects to incur P57,600 in fixed expenses next year, its break-even point must be:

Standard Deluxe Sales (a) P450000 P50000 Less: Variable costs P360000 20000 Contribution…

Answered: Standard Deluxe Sales P450,000 P50,000…

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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Standard Deluxe Sales P450,000 P50,000 Variable expenses (total) P360,000 P20,000 If ERD expects to incur P57,600 in fixed expenses next year, its break-even point must be: