Company manufactures molds for casting aluminium alloy test samples. Fixed costs amount to 20 000,-...
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Accounting
Company manufactures molds for casting aluminium alloy test samples. Fixed costs amount to 20 000,- per year. Variable costs for each unit manufactured are 16,- sales price is 28,-
a) Calculate the breakeven point in unit sales
b) what is the operating profit (loss) if the company manufactures and sells
i) 1 500 units per year
ii) 3 000 units per year
c) Calculate the breakeven point in unit sales if variable costs decrease by 20% and selling price decrease by 10 %.
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