Question $3$

a$)$ Consider the below information on the main liqueur sold by Company X$.$

Description Units$/$Per Unit Value Total

Units Sold $100$

Price $$200$

Revenue $-$ $$20,000$

Variable Cost per unit $$50-$

Fixed Cost $-$ $$2,000$

b$)$ Complete the blank columns below in Excel using appropriate formula and the information above:

Units Total Revenue Fixed Cost Variable Cost Total Cost Profit

$10$

$20$

$30$

$40$

$50$

$60$

$70$

c$)$ Use Excel to generate the break$-$even chart and state the break$-$even quantity and dollar value.

$(4$ marks$)$

d$)$ If the current sales level is $70$ units, mark the margin of safety and calculate and interpret the percentage margin of safety.

$(3$ marks$)$

e$)$ Use the data provided to calculate the selling price and the variable cost per unit.

$(3$ marks$)$

f$)$ From this, calculate a$)$ the contribution per unit and b$)$ the total contribution at $75$ units.

$(3$ marks$)$

g$)$ Calculate the profit if sales grow to $90$ units

$(2$ marks$)$