Solution-Determine the breakeven point bin units and in

Determine the breakeven point bin units and in pesos

Reference no: EM133116764

Question - ABC CO produces and sells camping equipment. One of the company's products, a camp lantern, sells P150 per unit. Variable expenses are P120 lantern, and fixed expenses associated with the lantern total P450,000 per month.

Required -

1. Determine the breakeven point bin units and in pesos?

2. At present, the company is selling 15,000 lanterns a month. The sales manager is convinced that a 10% reduction in selling price would result in a 25% increase in the number of lanterns sold each. How much is the change in net income if the sales manager's expectations are correct?

Reference no: EM133116764

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Determine the breakeven point bin units and in pesos

Reference no: EM133116764

Reference no: EM133116764

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