The direct labor cost and material cost of a certain product are P300 and P400 per unit, respectively. Fixed charges are P100,000 per month and other variable costs are P100 per unit. If the product is sold at P1,200 per unit, how many units must be produced and sold to breakeven?

Fundamentals Of Construction Estimating
4th Edition
ISBN:9781337399395
Author:Pratt, David J.
Publisher:Pratt, David J.
Chapter9: Pricing Construction Equipment
Section: Chapter Questions
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The direct labor cost and material cost of a certain product are P300 and P400 per unit, respectively.
Fixed charges are P100,000 per month and other variable costs are P100 per unit. If the product is sold
at P1,200 per unit, how many units must be produced and sold to breakeven?
Transcribed Image Text:The direct labor cost and material cost of a certain product are P300 and P400 per unit, respectively. Fixed charges are P100,000 per month and other variable costs are P100 per unit. If the product is sold at P1,200 per unit, how many units must be produced and sold to breakeven?
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