Question 1: Muscat Company has the financial information given in the table for the year ended on 30 September 2021. It is assumed that volume of production and volume of sales are equal. According to the information given, you are required to calculate the following; a) Break-even point (in units and amount) b) PV ratio c) Margin of Safety (as amount and percentage) as OMR Sales (actual) 1,600,000 Total fixed cost 900,000 Selling price per unit Variable cost per unit 375 225
Question 1: Muscat Company has the financial information given in the table for the year ended on 30 September 2021. It is assumed that volume of production and volume of sales are equal. According to the information given, you are required to calculate the following; a) Break-even point (in units and amount) b) PV ratio c) Margin of Safety (as amount and percentage) as OMR Sales (actual) 1,600,000 Total fixed cost 900,000 Selling price per unit Variable cost per unit 375 225
Chapter12: Corporate Valuation And Financial Planning
Section: Chapter Questions
Problem 2STP
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