A firm estimates that it will sell 100,000 units of its sole product in the coming period. It projects the sales price at P40 per unit, the CM ratio at 70 percent, and profit at P500,000. What is the firm budgeting for fixed costs in the coming period? * A

A firm estimates that it will sell 100,000 units of its sole product in the coming period. It projects the sales price at P40 per unit, the CM ratio at 70 percent, and profit at P500,000. What is the firm budgeting for fixed costs in the coming period? * A

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter7: The Master Budget And Flexible Budgeting

Section: Chapter Questions

Problem 10Q: If the sales forecast estimates that 50,000 units of product will be sold during the following year,...

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A firm estimates that it will sell 100,000 units of its sole product in the coming period. It
projects the sales price at P40 per unit, the CM ratio at 70 percent, and profit at P500,000.
What is the firm budgeting for fixed costs in the coming period? * G

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