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How many units would need to be sold to earn a target annual

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Reference no: EM132794746

A mineral water company has the annual capacity available informationto manufacture 100,000 bottles as follows:

Selling price Rp. 5,000

Variable manufacturing costs  Rp. 2,300

Fixed manufacturing costs   Rp. 58,000,000

Fixed marketing and administrative costs Rp. 35,500,000

Variable marketing and administrative costs   Rp. 1,000

Required:

Problem 1: Calculate the number of units that need to be sold annually to break even.

Problem 2: How many units would need to be sold to earn a target annual profit of Rp. 42,500,000?

Reference no: EM132794746

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