From the following information you are required to construct: (i) a break-even chart, showing the break-even...
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From the following information you are required to construct: (i) a break-even chart, showing the break-even point and the margin of safety; (ii) a chart displaying the contribution level and the profit level; (iii) a profit-volume chart. 6000 units at Br.12 per unit = Br.72 000 6000 units at Br.7 per unit = Br.42 000 = Br.20 000 Sales Variable costs Fixed costs (b) State the purposes of each of the three charts in (a) above. (c) Outline the limitations of break-even analysis. (d) What are the advantages of graphical presentation of financial data to executives? From the following information you are required to construct: (i) a break-even chart, showing the break-even point and the margin of safety; (ii) a chart displaying the contribution level and the profit level; (iii) a profit-volume chart. 6000 units at Br.12 per unit = Br.72 000 6000 units at Br.7 per unit = Br.42 000 = Br.20 000 Sales Variable costs Fixed costs (b) State the purposes of each of the three charts in (a) above. (c) Outline the limitations of break-even analysis. (d) What are the advantages of graphical presentation of financial data to executives?
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i Breakeven chart Total Sales 6000 units x Br12 Br72 000 Total Variable Costs 6000 units x Br7 Br42 ... View the full answer
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