Two companies P Ltd. and Q Ltd. producing and selling similar products forecasted their Profits and Loss

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Two companies P Ltd. and Q Ltd. producing and selling similar products forecasted their Profits and Loss a/c for the next year, which is as follows:image text in transcribed

Calculate:

(a) P/V ratio, break-even point, and margin of safety for both the companies.

(b) Sales required to earn a profit of ₹30,000 for both companies.

(c) Under the following situations, which company will show better results (i) Increase in sales (ii) Decrease in sales.

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