Compute the break-even point in sales and units

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Question - Contribution Margin, Beak-even, Margin of Safety, and Target Net Income 1. LV Ltd. Makes travel bags that sell for P3,920 each. For the coming year, management expects fixed costs to total P22,400,000 and variable costs per unit of P2,940.

a. Compute the Break-even point in sales and units.

b. Compute the Margin of safety and margin of safety ratio assuming actual sales are P96,768,000.

c. Compute the Sales required to earn net income of P28,700,000.

Reference no: EM133002580

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