Ayantu Plc. sells a t-shirts. The selling price per unit is 15 birr and the variable cost

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Ayantu Plc. sells a t-shirts. The selling price per unit is 15 birr and the variable cost per unit is 9 birr. You are required determine

a) Contribution Margin and Contribution ratio

b) Break-even in units and amount (Sales birr) if the fixed costs are 100,000 birr per year.

c) If the owner desired a profit of 25,000 birr.

What will be break-even point in unit, in birr and Margin of safety?

d) If fixed costs rose to 110,000 birr, break-even in units' volume would be?

Related Book For answer-question

Cost Management A Strategic Emphasis

ISBN: 9781259917028

8th Edition

Authors: Edward Blocher, David F. Stout, Paul Juras, Steven Smith

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Posted Date: Jul 17, 2023 06:45 AM

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Ayantu Plc. sells a t-shirts. The selling price per unit is 15 birr and the variable cost

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a Contribution Margin and Contribution Ratio Contribution Margin Selling Price Variable Cost 15 9 6 ... View the full answer

Cost Management A Strategic Emphasis

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