Calculate: (a) Present P/V Ratio and BEP in units; (b) Future P/V Ratio and BEP in units; and (c)… 1 answer below »

Sale of product amounts to 200 units per month at Rs. 10 per unit. Fixed overhead is Rs. 400 per month and Variable Cost is Rs. 6 per unit. There is a proposal to reduce the Selling Price by 10%.

Calculate: (a) Present P/V Ratio and BEP in units; (b) Future P/V Ratio and BEP in units; and (c) How many units to be sold to earn the present total profit?