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"S produces and sells one product, P, for which the data are as follows:
Selling price Rs 28
Variable cost Rs 16
Fixed cost Rs 4
The fixed costs are based on a budgeted production and sales level of 25,000 units for the next period. Due to market changes both the selling price and the variable cost are expected to increase above the budgeted level in the next period. If the selling price and variable cost per unit increase by 10% and 8% respectively, by how much must sales volume change, compared with the original budgeted level, in order to achieve the original budgeted profit for the period?"

"S produces and sells one product, P, for which the data are as follows:
Selling price Rs 28
Variable cost Rs 16
Fixed cost Rs 4
The fixed costs are based on a budgeted production and sales level of 25,000 units for the next period. Due to market changes both the selling price and the variable cost are expected to increase above the budgeted level in the next period. If the selling price and variable cost per unit increase by 10% and 8% respectively, by how much must sales volume change, compared with the original budgeted level, in order to achieve the original budgeted profit for the period?" Correct Answer 11.2% decrease

Related Questions

"It is now expected that the variable production cost per unit and the selling price per unit will each increase by 10%, and fixed production cost will rise by 25%. What will be the new break even point?
Selling price - Rs 6 per unit
Variable production cost - Rs 1.20 per unit
Variable selling cost - Rs 0.40 per unit
Fixed production cost - Rs 4 per unit
Fixed selling cost - Rs 0.80 per unit
Budgeted production and sales for the year are 10,000 units."
"How many units must be sold if company wants to achieve a profit of Rs 11,000 for the year?
Selling price - Rs 6 per unit
Variable production cost - Rs 1.20 per unit
Variable selling cost - Rs 0.40 per unit
Fixed production cost - Rs 4 per unit
Fixed selling cost - Rs 0.80 per unit
Budgeted production and sales for the year are 10,000 units."
"What is the company's breakeven point:
Selling price - Rs 6 per unit
Variable production cost - Rs 1.20 per unit
Variable selling cost - Rs 0.40 per unit
Fixed production cost - Rs 4 per unit
Fixed selling cost - Rs 0.80 per unit
Budgeted production and sales for the year are 10,000 units."
From the following information, find out the number of units that must be sold by the firm to earn profit of Rs. 80,000 per year.
Sales price: Rs. 25 per unit
Variable manufacturing costs: Rs. 12 per unit
Variable selling costs: Rs. 3 per unit
Fixed factory overheads: Rs. 5,00,000
Fixed selling costs: Rs. 3,00,000
A company manufactures a single product for which cost and selling price data are as follows:
Selling price per unit - Rs 12
Variable cost per unit - Rs 8
Fixed cost for a period - Rs 98,000
Budgeted sales for a period - 30,000 units
The margin of safety, expressed as a percentage of budgeted sales,is:
Given below are three quantities named 1, 2 and 3. Based on the given information, you have to determine the relationships between the three quantities. You should use the given data and knowledge of Mathematics to choose between the possible answer. The options represent the relations among the three quantities. A. < B. > C. ≤ D. ≥ E. = Quantity 1: A shopkeeper earns a profit of 24% if he sells a product for Rs.186. What will be his profit percentage, if he sells the product for Rs.180? Quantity 2: A shopkeeper marks the price of a product 50% above its cost price and sells it at a discount of 20%. What is his profit percentage? Quantity 3: Mahesh sold a laptop to Shyam making a profit of 10%. Shyam sold it to Keshav making a profit of 12%. Keshav sold the laptop to Shital at a profit of 15%. By how much percentage the price of the laptop is increased?
The table shows the annual expenses on various heads made by a firm during 2014 - 2018. What is the average expenditure per head of 2016? Year Particulars Raw Materials Wages Administration Delivery Finance 2014 50000 15000 40000 20000 20000 2015 90000 20000 40000 25000 25000 2016 45000 22500 47500 25000 25000 2017 60000 20000 40000 25000 40000 2018 7500 25000 50000 30000 45000
In the following question, two statements are numbered as A and B. On solving these statements we get quantities A and B respectively. Solve for the both quantities and choose the correct option. Quantity A: A shopkeeper marks the price of his product 20% above its cost price and sells it at a discount of 10%. If he earns a profit of Rs. 120, what is the cost price of the product? Quantity B: A product is successively sold twice earning a profit of 10% and 20% respectively. If the original cost price of the product is Rs. 1050, what is the final selling price of the product?
A lady wants to buy the following items in the given price range- 1. Tomato between Rs. 40 and Rs. 45 per kg. 2. Grapes in the price range of Rs. 80 and Rs. 90 per kg. 3. Milk packets at Rs. 23 per liter. In which shop from the following will she definitely get all her items/ A. Shop S sells tomato at Rs. 22.5 per half kg, Grapes at Rs. 82 per kg and milk at Rs. 24 per liter. B. Shop H sells grapes at Rs. 21 per quarter kg, milk at 12.5 per half litre and tomato at Rs. 22 per half kg. C. Shop O sells milk at Rs. 11.5 per half litre, tomato at 21 per half kg and grapes at Rs. 43 per half kg. D. Shop P sells tomato at Rs. 23.5 per half kg, grapes at Rs. 85 per kg and milk at Rs. 23 per litre.
The following are the criteria set by a Retail outlet for the selection of candidates for the post of Store In charge in a reputed mall. 1. The candidate must be a graduate in any stream with minimum of 50% marks. 2. The candidate must have Minimum of 5 years of Sales experience in Retail. 3. The age of the candidate should not be less than 25 years and more than 34 years as on 1st October, 2019. (a) If a candidate satisfies all the criteria except 2 as given above but has an MBA degree and has minimum of 2 years of work experience in sales, she/he must be sent to the General Manager, Recruitment for further interview. (b) If a candidate satisfies all the criteria except 3, but has more than 5 years experience as a Group Manager and above in Sales managing a team of sales executives, then she/he must be sent to the Regional Manager, Sales & Marketing, for further interview Based on the above criteria and conditions, analyze and decide which of the following course of action should be taken for the candidate whose description is provided below. Please note that you are not to assume anything other than the given information. Sujoy is a graduate with 55% marks and MBA through Correspondence. He was born on Sept 20, 1990. He has 1 year of work experience as a sales executive and 2 years of experience as a Group Manager, Sales. On the basis of the information as given above, which of the following decisions would be appropriate