Question: Does the marginal cost per unit equal the variable cost per unit. If so why? nales (C/S) rtio 3/ Madcs Pepsi Company produces a single

Does the marginal cost per unit equal the variable cost per unit. If so why?

Does the marginal cost per unit equal the variable cost per unit.

nales (C/S) rtio 3/ Madcs Pepsi Company produces a single article. The following cost data is given about its product: Selling price per unit - Marginal cost per unit - Rs. 24 Rs. 40 CMC Fixed cost per annum Rs. 16,000 Using the above information you are required to calculate: A Contribution to sales (C/S) ratio i. Break Even Sales Lto,0o0 ii. iii. Sales to earn a profit of Rs. 2,000 4Scco iv. Profit at sales of Rs.60,000 st 0 New break even sales, if price is reduced by 10% 48004 0 (10 M V. Total 20

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