Question 5 Sangs Ltd had $90,000 profit in 2016 when its one product had a selling price of $150 per unit and a variable cost of $90 per unit, and fixed costs of $630,000. Management do not expect per unit variable costs and fixed costs to change during 2017. Sand is expecting a profit of $120,000 in 2017. Required: a. Calculate Sangs's break-even figure in number of units. b. Calculate for Sangs's contribution margin ratio and use this ratio to calculate the Break- even revenue in dollars. c. Calculate the number of units sold in 2016.

Sangs Ltd had $90,000 profit in 2016 when its one product had a selling price of $150 per unit and a variable cost of $90 per unit, and fixed costs of $630,000. Management do not expect per unit variable costs and fixed costs to change during 2017. Sand is expecting a profit of $120,000 in 2017. Required: a. Calculate Sangs's break-even figure in number of units. b. Calculate for Sangs's contribution margin ratio and use this ratio to calculate the Breakeven revenue in dollars. c. Calculate the number of units sold in 2016