Question # 04: a) Explain how CVP analysis helps management in decision making. 102] b) XYZ Company distributes a single product. The company's contribution format income statement for the most recent month is given below: Particulars Taka Per unit (Taka) Sales (18,000 units) 5,40,000 30 Less: Variable Expense 2,16,000 12 Contribution Margin 3,24,000 18 Less: Fixed Expense 2,80,000 Net operating Income 44,000 Instructions: i Compute the company's break-even point in units and in sales taka 1021 ii. Compute the company's margin of safety percentage. 1011 iii. Assume that next year management wants the company to earn a profit of at least Tk. 55,000. What sales level in units and in sales taka is required to meet this target profit? 1021 iv. Refer to original data, if variable expense is increased by Tk. 2 per unit and fixed expense is decreased by Tk. 40,000, what will be the new break-even point in sales taka? 103