Question: Sales 1,000,000 Variable cost 600,000 Contribution margin 400,000 Less Fixed cost 200,000 Profit before tax 200,000 Less tax 80,000 Profit after tax 120,000 Required Suppose

Sales 1,000,000 Variable cost 600,000 Contribution margin 400,000 Less Fixed cost 200,000 Profit before tax 200,000 Less tax 80,000 Profit after tax 120,000 Required Suppose that a plant expansion will add Rs.100,000 and increase capacity by 50% how many units would have to be sold after the addition to break even

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