The Don Company sold 100,000 units of its product at Php 20 per unit. Variable costs are Php 14 per unit (manufacturing costs of Php 11 and marketing costs of Php 3). Fixed costs are incurred uniformly throughout the year and amount to Php 792,000 (manufacturing costs of Php 500,000 and marketing costs of Php 292,000). Compute the break-even point in pesos.

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
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The Don Company sold
100,000 units of its product at
Php 20 per unit. Variable costs
are Php 14 per unit
(manufacturing costs of Php 11
and marketing costs of Php 3).
Fixed costs are incurred
uniformly throughout the year
and amount to Php 792,00
(manufacturing costs of Php
500,000 and marketing costs
of Php 292,000). Compute the
break-even point in pesos.
Transcribed Image Text:The Don Company sold 100,000 units of its product at Php 20 per unit. Variable costs are Php 14 per unit (manufacturing costs of Php 11 and marketing costs of Php 3). Fixed costs are incurred uniformly throughout the year and amount to Php 792,00 (manufacturing costs of Php 500,000 and marketing costs of Php 292,000). Compute the break-even point in pesos.
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