A company has budgeted sales revenue of $500,000 for January 20x5 with an associated contribution of $275,000. Fixed production cost are $137,500 and fixed selling costs amount to $27,500. What is d break even sales revenue?
A $165000
B $250000
C $300000
D $366667
I added the fixed selling cost to the fixed production cost so overall my answer was $300000
Please do I need to exclude the fixed selling cost
Ask the Tutor ACCA PM
Break even sales
4y ago#1No, you are correct to include the fixed selling cost.
(But why are you attempting a question for which you do not have an answer? You should be using a Revision Kit from one of the ACCA Approved Publishers - they have answers and workings :-) )
Sign into reply to this topic.