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Find the profit volume ratio

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Reference no: EM132918828

The following information is obtained from a Company for 2006:

Sales SR 20,000

Variable Costs 10,000

Fixed Costs SR 6,000

Problem 1: Find the Profit volume ratio, Break-even point and Margin of Safety at this level, and the effect of :

(a) 20% decrease in fixed costs;

(b) 10% increase in fixed costs;

(c) 10% decrease in variable costs;

(d) 10% increase In selling price; ( e) 10% decrease in sales price

Reference no: EM132918828

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