Question: Sales (15,000 units) Less: Variable expenses Contribution margin Less Fixed expenses Profit AED 450,000 180,000 270,000 216,000 54,000 Required: Calculate break-even point in units and

 Sales (15,000 units) Less: Variable expenses Contribution margin Less Fixed expenses

Sales (15,000 units) Less: Variable expenses Contribution margin Less Fixed expenses Profit AED 450,000 180,000 270,000 216,000 54,000 Required: Calculate break-even point in units and sales Dirham (2 marks) 6 Calculate the percentage margin of safety and operating leverage Interpret both results. (4 marks) Compute the selling price that would have to be charged to give a profit of Dh90,000 on sales of 8,000 units, fixed costs of Dh60,000 and variable cost of Dh10 per product (3 marks) d Derive additional units that must be sold to cover the extra cost of television advertising of Dh8,000 (1 mark) C B TU A-A-I E33XX, 12pt Paragraph

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