PJS Seating Company, a manufacturer of chair, had the following data for 2020. Sales 2,400 units Sales price Php 40 per unit Php 15 per unit Php 19,500 Variable costs Fixed costs What is the break-even analysis point in peso value? What is the contribution margin ratio?

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
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Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 3EA: A product has a sales price of $150 and a per-unit contribution margin of $50. What is the...
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PJS Seating Company, a manufacturer of chair, had the following data for 2020.
Sales
2,400 units
Sales price
Php 40 per unit
Variable costs
Php 15 per unit
Fixed costs
Php 19,500
What is the break-even analysis point in peso value?
What is the contribution margin ratio?
Transcribed Image Text:PJS Seating Company, a manufacturer of chair, had the following data for 2020. Sales 2,400 units Sales price Php 40 per unit Variable costs Php 15 per unit Fixed costs Php 19,500 What is the break-even analysis point in peso value? What is the contribution margin ratio?
MyBags Company makes small bags that sell Php 20.00 each. For coming year,
management expects fixed costs to total Php 220,000.00 and variable cost to be Php 9.00
per unit.
Find out the break-even point in units using the mathematical equation.
Find out the break-even point in peso value using the contribution margin ratio.
Transcribed Image Text:MyBags Company makes small bags that sell Php 20.00 each. For coming year, management expects fixed costs to total Php 220,000.00 and variable cost to be Php 9.00 per unit. Find out the break-even point in units using the mathematical equation. Find out the break-even point in peso value using the contribution margin ratio.
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