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OUTON TARTA-COMPULSORY Sin by her These were there for deres C CHINI YA peria Dwarta! he die eerste comentarische profit 5000.00 mar MacBook Air D G H v B QUESTION 1 PART A -COMPULSORY SECTION 4 - COMPULSORY Question 1 [20 Macks] PARTA [13 Marks] ARG Inc manufactures and sells a single product. The following data have been extracted from the current year's budget Sales and production (units) 5,000 Vanable cost per un $50 Fixed cost per unut $70 Contribution margin ratio 75% The selling price per unit for next year is to be 8% above the current year's budgeted figure, whereas both the variable cost per unit and the total fixed costs are forecast to increase by 12% above their budgeted level in the current year The target for next year is that total profit should remain the same as that budgeted for the current year. Required: a) Calculate the CURRENT YEAR budgeted i Contribution per unit, [2 marks] Total profit [3 marks] II. Breakeven point in units [2 marks] b) Calculate the number of units the company should produce and sell next year to achieve a target profit of $100,000 16 markas A B I u X3 x S I be 3E