I will like to know why 800 was multiplied by 8 in the contribution equation.
The $8 is the contribution for each bottle of lotion.
If we make 800 bottle of lotion and no bottles of cream then the total contribution is 800 x 8 = 6400.
They have only done this to get the angle of the contribution line. You could choose any numbers and the angle of the line will be the same – it is only the angle/slope of the line that we need.
(If you watch the lecture, it explains for the example in the course notes why the angle/slope of the line is important and how to get it.)
Thanks a lot!
You are welcome.
i want to ask that which book is good kaplan or bpp learning media
is it necessary to do a per for 3 years
if i not a PER can i get a job
what is the starting salary if i complete acca
Kaplan and BPP books are both good.
You can still get a job if you have not finished 3 years experience, but you cannot call yourself ACCA until you have passed all the exams and have 3 years experience.
I have no idea about starting salaries (and it depends what country you are in!). I suggest you do some research on Google.
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