[Daphian]

Dear tutor,
I need your help with this question in cvp analysis.
A summary of manufacturing company’s budgeted profit statement for the next financial year, when it expects to be operating at 75% of capacity as given below,
Sales : 9,000 units at $32. $288,000

Less:
Direct materials
Direct wages
Pdn overheads
Fixed. 42,000
Variable 18,000

186,000
Gross profit. 102,000

Less:
Administration, selling
And distribution costs:
Fixed. 36,000
Variable. 27,000
63,000
Net profit 39,000

Required;
Calculate the break even point in units and in value.
Draw a profit volume graph

[Author]

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