Determine the break-even quantity and margin of safety (units and value) if com sold 8,000 units of new product per year with price of RO 50 per unit v) (Ctrl) - Description Capital (RO) Life (years) Capacity (units per year) Salaries per year (RO) Other fixed costs per year (RO) Wages per year (RO) Cost of materials per year (RO) Other variable costs per year (RO) Scrap value at the end of the year (RO) Cost of capital (%) Project-A 355,000 Project-B 450,200 15 15 10,000 45,000 40,000 70,000 229,000 35,000 31,700 15 12,000 50,000 85,000 80,000 279,000 40,000 43,700 15

Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter7: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 59P: Cost-Volume-Profit, Margin of Safety Victoria Company produces a single product. Last years income...
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Determine the break-even quantity and margin of safety (units and value) if company
sold 8,000 units of new product per year with price of RO 50 per unit
v)
(Ctrl) -
Description
Capital (RO)
Life (years)
Capacity (units per year)
Salaries per year (RO)
Other fixed costs per year (RO)
Wages per year (RO)
Cost of materials per year (RO)
Other variable costs per year (RO)
Scrap value at the end of the year (RO)
Cost of capital (%)
Project-A
355,000
15
Project-B
450,200
15
10,000
45,000
40,000
70,000
229,000
35,000
31,700
15
12,000
50,000
85,000
80,000
279,000
40,000
43,700
15
Transcribed Image Text:Determine the break-even quantity and margin of safety (units and value) if company sold 8,000 units of new product per year with price of RO 50 per unit v) (Ctrl) - Description Capital (RO) Life (years) Capacity (units per year) Salaries per year (RO) Other fixed costs per year (RO) Wages per year (RO) Cost of materials per year (RO) Other variable costs per year (RO) Scrap value at the end of the year (RO) Cost of capital (%) Project-A 355,000 15 Project-B 450,200 15 10,000 45,000 40,000 70,000 229,000 35,000 31,700 15 12,000 50,000 85,000 80,000 279,000 40,000 43,700 15
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