Clean work get good feedback. 1. Gul Ahmad limited is associated with the clothing business and being a new start up, themanagement is about to choose the right pricing strategy. If the marginal cost of product Deltais PKR XX/unit. Then find Selling price for each in the following circumstances:a) To earn a return on costs of XX% (mark up)b) To earn a return on sales of 133% (margin)2. Suppose company uses marginal cost plus pricing for its products, Y. If the company'scost structure and output structure consist of 4000 Output (units), total cost of 250,000 andfixed costs of PKR 150,000, then calculate the following:a) What is the breakeven point in units?b) What is the breakeven revenue?3. A company has different output levels, and incurs different total production costs ateach level, as follows.Output(units)6,0008,000Total Costs44,70057,700c) If the selling price is SXX/unit at all levels, what is the B.E.P.?d) What is the breakeven revenue?

Pricing strategies refer to the various methods and processes used by the company to set prices…

1. Gul Ahmad limited is associated with the clothing business and being a new start up, the management is about to choose the right pricing strategy. If the marginal cost of product Delta is PKR XX/unit. Then find Selling price for each in the following circumstances: a) To earn a return on costs of XX% (mark up) b) To earn a return on sales of 133% (margin)

1. Gul Ahmad limited is associated with the clothing business and being a new start up, the management is about to choose the right pricing strategy. If the marginal cost of product Delta is PKR XX/unit. Then find Selling price for each in the following circumstances: a) To earn a return on costs of XX% (mark up) b) To earn a return on sales of 133% (margin)

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 8EA: Marchete Company produces a single product. They have recently received the results of a market...

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