hi friends,
need ur help 2 solve the below pblm on marginal costing..thanx in advance..
Question
The Cost-volume-profit relationship of a company is described by the equation y= Rs.240000 +0.7x ,in which x represents sales revenue and y is the total cost as the sales volume represented by x. find out 1) P/V ratio 2) Break-even point.
HI pavithra
At in the given equation
total revenue= FC + VC * no of units
Sales 100
VC 70
PVR 30
BEP=fc/pvr
240000/.3
=800000
thnx a lot kaushik
Hi Pavithra,
Hope this table helps in solving Marginal costing Problems.
1)
Total Sales = BEP Sales + MOS Sales
Less: VC VC VC
--------------------------------------------------------------------
Contribution = F C + Profit
--------------------------------------------------------------------
2)
Total Sales = BEP Sales + MOS Sales
Multiply by : PVR PVR PVR
--------------------------------------------------------------------
Contribution = F C + Profit
--------------------------------------------------------------------
3)
Contribution = F C + Profit
Divided by: PVR PVR PVR
--------------------------------------------------------------------
Total Sales = BEP Sales + MOS Sales
--------------------------------------------------------------------
Keep this logic in mind and rotate the formulas to find the missing figures.. regards.. saida
Hi Pavithra,
Hope this table helps in solving Marginal costing Problems.
1)
Total Sales = BEP Sales + MOS Sales
Less: VC VC VC
--------------------------------------------------------------------
Contribution = F C + Profit
--------------------------------------------------------------------
2)
Total Sales = BEP Sales + MOS Sales
Multiply by : PVR PVR PVR
--------------------------------------------------------------------
Contribution = F C + Profit
--------------------------------------------------------------------
3)
Contribution = F C + Profit
Divided by: PVR PVR PVR
--------------------------------------------------------------------
Total Sales = BEP Sales + MOS Sales
--------------------------------------------------------------------
Keep this logic in mind and rotate the formulas to find the missing figures.. regards.. saida
Thanks a lot
Can someone help in solving this.
Equilibrium in commodity markets is attained when Y = Rs.850-2500r; and equilibrium is attained in the money markets when Y = Rs.500 + 5M + 1000r, where Y is real income, r is the rate of interest and M is real money supply full employment equilibrium exists at Rs.650 real income. If the nominal money supply is Rs.200 and the price level is 1,
(i) Is the economy operating with inflationary or deflationary condition?
(ii) At what price level will there be simultaneous equilibrium in all markets?
Gupta Sachdeva & Co. Chartered Accountants
New Delhi
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