Question 3.2.1Use the attached information to calculate the following The selling price per unit that will realize an operating profit of R7200003.2. 2The number of units that must be sold in order to earn an operating profit of R720000, if the selling price increases by 10% and fixed costs increase by R87000 S Hon-Accounting and Financial M X +wnloads/OSA_ Jan21_PGDBM_AFM801_Main_20211112080701%20(1).pdf12080701 (1).pdf6 / 12+ |田]の100%INFORMATIONThe following information regarding Toti Ltd, which manufactures only one product, is available for 2022:Toti Ltd expects to sell 8 000 units at R400 per unit. Each unit requires 4 kg of materials ata cost of R25 per kg and0.5 hours of direct labour at a cost of R60 per hour. Variable manufacturing overheads are estimated at R40 perdirect labour hour. Fixed costs are budgeted at R1 600 000.

Sales volume required to earn a desired operating profit = ( Fixed cost + Desired profit) /…

Use the attached information to calculate the following The selling price per unit that will realize an operating profit of R720000 3.2. 2 The number of units that must be sold in order to earn an operating profit of R720000, if the selling price increases by 10% and fixed costs increase by R87000

Use the attached information to calculate the following The selling price per unit that will realize an operating profit of R720000 3.2. 2 The number of units that must be sold in order to earn an operating profit of R720000, if the selling price increases by 10% and fixed costs increase by R87000

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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Concept explainers

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.

Question

Question 3.2.1

Use the attached information to calculate the following

The selling price per unit that will realize an operating profit of R720000

3.2. 2

The number of units that must be sold in order to earn an operating profit of R720000, if the selling price increases by 10% and fixed costs increase by R87000

S Hon-Accounting and Financial M X +
wnloads/OSA_ Jan21_PGDBM_AFM801_Main_20211112080701%20(1).pdf
12080701 (1).pdf
6 / 12
+ |田
]の
100%
INFORMATION
The following information regarding Toti Ltd, which manufactures only one product, is available for 2022:
Toti Ltd expects to sell 8 000 units at R400 per unit. Each unit requires 4 kg of materials ata cost of R25 per kg and
0.5 hours of direct labour at a cost of R60 per hour. Variable manufacturing overheads are estimated at R40 per
direct labour hour. Fixed costs are budgeted at R1 600 000.

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