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Use the marginal income ratio to calculate the break-even value. INFORMATION Samcor Limited manufactures tables. The following information was extracted from the budget for the year ended 30 June 2022: 1. Total production and sales 2 400 units 2. Selling price per table R1 200 3. Variable manufacturing costs per table: Direct material R288 Direct labour R192 Overheads R96 4. Fixed manufacturing overheads R216 960 5. Other costs: Fixed marketing and administrative costs R144 000 Sales commission 5%

Use the marginal income ratio to calculate the break-even value. INFORMATION Samcor Limited manufactures tables. The following information was extracted from the budget for the year ended 30 June 2022: 1. Total production and sales 2 400 units 2. Selling price per table R1 200 3. Variable manufacturing costs per table: Direct material R288 Direct labour R192 Overheads R96 4. Fixed manufacturing overheads R216 960 5. Other costs: Fixed marketing and administrative costs R144 000 Sales commission 5%

FINANCIAL ACCOUNTING
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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Use the marginal income ratio to calculate the break-even value.

INFORMATION
Samcor Limited manufactures tables. The following information was extracted from the budget for the year ended 30 June 2022:
1. Total production and sales 2 400 units
2. Selling price per table R1 200
3. Variable manufacturing costs per table:
Direct material R288
Direct labour R192
Overheads R96
4. Fixed manufacturing overheads R216 960
5. Other costs:
Fixed marketing and administrative costs R144 000
Sales commission 5%

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