10 Questions
What is the formula to calculate the Break-Even Point in Units?
FC ÷ CMu
What is the selling price of Premium Recycled products?
৳422.05
What is the contribution margin per unit for Recycled products?
৳44.30
Why should the focus be on lowering variable costs?
Because the fixed cost has already been estimated at a minimum value.
What is the break-even revenue for Recycled products?
৳89,786.27
How can the variable costs be lowered?
By purchasing direct materials in larger quantities.
What is the fixed cost for both Premium and Recycled products?
৳15,000
What is the formula to calculate the Break-Even Sales?
FC ÷ CMR
Why are the demand forecasts a concern?
They are lower than the break-even point.
What is the objective of lowering the break-even point?
To improve the contribution margin.
This quiz covers the concept of production planning and manufacturing process. It includes calculation of maximum production output based on labor hours and units produced.
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