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MK Ltd is a producer of beer and spirits with two main products Bow and Vod, applies marginal
costing systems. All necessary equipments and machines have been invested at $500,000. The market research department forecasts for each unit of Bow sold, there are two units of Vod sold.Required: Give more suitable informations by yourself (notice: variable cost per unit of Bow must be greater than $0.4/unit) to calculate the break-even point in terms of unit and revenue for MK
Ltd in each case below:
– MK Ltd only produces and sells Bow.
– MK Ltd produces and sells both Bow and VodThere is no. point in simply typing out a full question and expecting to be provided with a full answer. You must have an answer in the same book in which you found the question – ask about what it is in the answer you are not clear about and then I will explain.
Have you watched my free lectures on CVP analysis? The lectures are a complete free course for Paper PM and cover everything needed to be able to pass the exam well.
(The exam does not have questions in this form. You should be using a Revision Kit from one of the ACCA approved publishers – it is full of past exam and other exam standard questions.)
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