Currently, a company has fixed costs of P32,500, a contribution ratio of 65%, and is selling its product for P12 per unit. If the sales price per unit is increased by P4, how much less will the break-even point in sales be when compared to the current condition? a.P14,411 b.P13,414 c.P17,500 d.P 5,932
Currently, a company has fixed costs of P32,500, a contribution ratio of 65%, and is selling its product for P12 per unit. If the sales price per unit is increased by P4, how much less will the break-even point in sales be when compared to the current condition? a.P14,411 b.P13,414 c.P17,500 d.P 5,932
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 6MC: If a company has fixed costs of $6.000 per month and their product that sells for $200 has a...
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Currently, a company has fixed costs of P32,500, a contribution ratio of 65%, and is selling its product for P12 per unit. If the sales price per unit is increased by P4, how much less will the break-even point in sales be when compared to the current condition?
a.P14,411
b.P13,414
c.P17,500
d.P 5,932
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