The cost of producing a particular type of auto- mobile in four different countries is shown in the table below: Number of Fixed cost Total Variable cost (Ksh. 0,000) cars Country produced (Ksh. 0,000) Japan 100 140 India 9. 30 150 China 15 120 330 Germany 12 200 160 Suppose the selling price per car is Ksh. 720,000, in which country would the break- even be 2.4 cars? {Assume linear CVP analysis}

The cost of producing a particular type of auto- mobile in four different countries is shown in the table below: Number of Fixed cost Total Variable cost (Ksh. 0,000) cars Country produced (Ksh. 0,000) Japan 100 140 India 9. 30 150 China 15 120 330 Germany 12 200 160 Suppose the selling price per car is Ksh. 720,000, in which country would the break- even be 2.4 cars? {Assume linear CVP analysis}

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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Ex.3.
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