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P1 Management Accounting Breakeven Analysis

Forums › CIMA Forums › P1 Management Accounting Breakeven Analysis

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by Cath.
Viewing 2 posts - 1 through 2 (of 2 total)
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    Posts
  • August 5, 2017 at 8:54 am #400479
    dhruvs222
    Member
    • Topics: 3
    • Replies: 1
    • ☆

    Hello !
    Respected Tutors, I am just Confused in this question please give the detailed solution of this.
    Question) A Co. Produces and sells three products A B and C.The projected Revenue and Contribution to sales ratio (C/S) for product A and B are a follows:

    Revenue A $10 Million
    C/S Ratio A 15%
    Revenue B — $20 million
    C/S Ratio B– 10%

    Product C as a c/s ratio of 25%
    The Co. total Fixed Cost are $5.5 million and the Co. wants to earns a profit of $1 million.
    What is the revenue that needs to be generated by Product C , in $ million , to achieve the required profit ?
    Give your answer to the nearest $ million.

    August 7, 2017 at 2:53 pm #400939
    Cath
    Participant
    • Topics: 0
    • Replies: 448
    • ☆☆☆

    Hi, Thank you for your question.

    Ive actually answered this question on here before – please follow the link below:

    https://opentuition.com/topic/moved-reply-to-multi-product-breakeven-analysis/

    Kind Regards
    Cath

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