Question: Question 4 Answer the questions from the information given. 4.1 Calculate the following from the information provided below: 4.1.1 Break-even quantity 4.1.2 Margin of safety

Question 4 Answer the questions from the information given. 4.1 Calculate the following from the information provided below: 4.1.1 Break-even quantity 4.1.2 Margin of safety (as a percentage, expressed to two decimal places) 4.1.3 The amount that Nampak Limited can spend on additional advertising and still break even. INFORMATION Nampak Limited produces only one product. Sales and production are expected to be 40 000 units per year and the sales price is R100 per unit. The relevant costs are: Direct materials Direct labour Manufacturing overheads Marketing expenses Administrative expenses Variable costs per unit R20 R24 R10 R6 Total fixed costs R300 000 (4 marks) (4 marks) (4 marks) R100 000 R200 000
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