Question:
DB Ltd furnished the following information:
|
2004-05 Rs.
|
2005-06 Rs.
|
|
Sales (Rs. 10/unit)
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2,00,000
|
2,50,000
|
|
Profit
|
30,000
|
50,000
|
You are required to compute:
1. P/V Ratio.
2. BEP.
3. Total Variable Cost for 2004-05 and 2005-06.
4. Sales required to earn a profit of Rs. 60,000.
5. Profit/Loss when sales are Rs. 1,00,000.
6. MS when profit is Rs. 80,000.
7. During 2006-07, due to an increase in cost, the Variable Cost is expected to rise to Rs. 7/unit and Fixed Cost to Rs. 55,000. If the Selling Price cannot be increased, what will be the amount of sales to maintain the profit of 2005-06?