Q4 / Al-Omaarah Company produced and sold 1000 bags during the year 2020, the selling price was 20 dinars, and thevariable manufacturing costs were 8 dinars per bag, and the fixed manufacturing costs were 12,000 dinars, and the variablemarketing costs amounted to 4 dinars per bag and the fixed marketing costs. 3 dinars.Required //1. Calculate the break-even point in units and amounts9- Calculating the number of units needed to eam a profit before tax of 1200 dinars Note that the tax rate is 20%, andGleul variable manufacturing costs are expected to increase 10% in the next year. Calculate the break-even pointNext yearIf the variable manufacturing costs increase by 10%, calculate the selling price that will achieve the survival of the contribution margin ratioAs it is.

Contribution means the difference between the selling price and variable cost . Fixed cost when…

Q4/Al-Omaarah Company produced and sold 1000 bags during the year 2020, the selling price was 20 dinars, and the variable manufacturing costs were 8 dinars per bag, and the fixed manufacturing costs were 12,000 dinars, and the variable marketing costs amounted to 4 dinars per bag and the fixed marketing costs. 3 dinars. Required // 1. Calculate the break-even point in units and amounts

Q4/Al-Omaarah Company produced and sold 1000 bags during the year 2020, the selling price was 20 dinars, and the variable manufacturing costs were 8 dinars per bag, and the fixed manufacturing costs were 12,000 dinars, and the variable marketing costs amounted to 4 dinars per bag and the fixed marketing costs. 3 dinars. Required // 1. Calculate the break-even point in units and amounts

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter16: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 6CE

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