Heng Bhd manufactures and sells their product - Turbo Washer to the various dealers within the...

 

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Heng Bhd manufactures and sells their product - Turbo Washer to the various dealers within the country. The budgeted production and sales per month is 7,000 washers. The selling price per unit of the washer is RM180. The unit production cost is as follows: Direct Materials Direct Wages Variable Wages Fixed overheads Required: a. Calculate the break even in: i. units RM38 RM44 RM28 RM20 ii. value iii. Calculate the sales quantity required to be sold to earn a profit of RM378,500 when the selling price per unit is reduced by 5%. b. Differentiate a variable cost from a fixed cost and explain why the distinction between variable and fixed costs is important in cost accounting. Heng Bhd manufactures and sells their product - Turbo Washer to the various dealers within the country. The budgeted production and sales per month is 7,000 washers. The selling price per unit of the washer is RM180. The unit production cost is as follows: Direct Materials Direct Wages Variable Wages Fixed overheads Required: a. Calculate the break even in: i. units RM38 RM44 RM28 RM20 ii. value iii. Calculate the sales quantity required to be sold to earn a profit of RM378,500 when the selling price per unit is reduced by 5%. b. Differentiate a variable cost from a fixed cost and explain why the distinction between variable and fixed costs is important in cost accounting.

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Ans Criven Sales Price Pen Unit RM 180 a No of umits sald 7000 units as of Sales Variable Cost Dir... View the full answer