MAS 1 Company sells 10,000 units of its products to SM Supermarket. Its selling price is P 50 per unit. The details of its costs are as follows:   Direct Materials                                              P 6 per unit Direct Labor                                                    P 10 per unit Variable Factory Overhead                           P 4 per unit Fixed Factory Overhead                                P 150,000 Variable Expenses                                          P 5 per unit Fixed Expenses                                               P 50,000   Assume each questions as independent assumptions: 6.       Margin of safety in units 7.       Margin of safety ratio 8.       Net Profit 9.       Contribution margin in pesos

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Chapter6: Activity-based, Variable, And Absorption Costing
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Problem 14EB: Crafts 4 All has these costs associated with production of 12,000 units of accessory products:...
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MAS 1 Company sells 10,000 units of its products to SM Supermarket. Its selling price is P 50 per unit. The details of its costs are as follows:

 

Direct Materials                                              P 6 per unit

Direct Labor                                                    P 10 per unit

Variable Factory Overhead                           P 4 per unit

Fixed Factory Overhead                                P 150,000

Variable Expenses                                          P 5 per unit

Fixed Expenses                                               P 50,000

 

Assume each questions as independent assumptions:

6.       Margin of safety in units

7.       Margin of safety ratio

8.       Net Profit

9.       Contribution margin in pesos

 

 

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