ABC Company Ltd. furnishe.s the following data.
Find: (i) P/V Ratio, (ii) BEP, (iii) Net Profit when the Sales are Rs. 4,00,000, (iv) Sales required to earn a Profit of Rs. 80,000, (v) Margin of Safety when the Sales are Rs. 4,00,000.
The following data relate to a company:
|Year Ended||Total Sales (Rs.)||Total Cost (Rs.)|
Assuming stability in prices, with variable costs carefu11y controlled to reflect determined relationships and an unvarying figure for fixed costs, calculate :
(i) The P/V ratio, (ii) Fixed Cost, (iii) Fixed Cost as % of Sales, (iv) BEP, and (v) Margin of Safety for years 2017 and 2018.