The cost of producing a small transistor radio set consists of P22.00 for labor and P36.00 for materials. The fixed charges in operating the plant are P100,000 per month. The variable cost is P1.50 per set. The radio set can be sold for P78.00 each. Determine How many sets must be produced per month to each at least P 100,000?

Q: 2. A company can manufacture a product using hand tools. Tools will cost $ 1,000, and the…

A: Here,

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A: SOLUTION- BREAK EVEN POINT  IS THE POINT AT WHICH TOTAL REVENUE EQUALS TO TOTAL COST OR EXPENSES.

Q: 1400

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A: given information each produces = 2000 units 1st machine requires raw materials = $20,000 2st…

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A:

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A: Annual cash inflow for 3 years = $5.14 million Upfront setup cost = $8.11 million Discount rate =…

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A: Daily holding cost = 28 Difference in cost per day shipping cost = 98

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Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.