How to find variable cost?

Given: Profit = Rs.12000, Fixed Cost = 24000, Margin of Safety = 30000.

 

Asked to findout new Break Even Point if selling price is reduced by 10%.

 

So, to findout  BEP we need variable cost. Can someone tell me how to get it?

Replies (3)

what is the units sold ?

Variable cost at present level of activity :54000

now it is easy to find 

Thanks gillbates.

 

Could also please tell me the proceedure you used to find that?

 

BTW, how to findout the Variable Cost from this details: Fixed Costs = Rs. 4000, BEP = Rs. 10000.

Variable Cost = 6000

Hint :  At BEP, Fixed cost = Contribution 

so cont. =4000

then Calculate PVR, for finding Sales 

which is 40%

Sales=10000

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
16 September 2026
Internal Audit - Team Lead

Consulting & Beyond

Chennai

CA

View Details
Company
26 September 2026
Chartered Accountant

pushpganga ventures

Pune

CA

View Details
Company
Featured 21 September 2026
Consultant - Reporting

Finrep Advisors LLP

Mumbai

CA

View Details
Company
04 September 2026
CA inter Or ca finalist

A Jaiswal and company

Lucknow

CA Final

View Details
Company
09 September 2026
Semi Qualified CA / CA Inter - 2 Groups Cleared

Getmyca Consultant Pvt Ltd

New Delhi

CA Inter

View Details
Company
08 September 2026
Semi-Qualified Assitant

Subrahmanyam & Sivudu CA Firm

Hyderabad

CA Inter

View Details
Company
09 September 2026
SENIOR AUDITOR & ACCOUNTS MANAGER

Anupam Parashar & Co.

Ghaziabad

CA Final

View Details
Company
15 September 2026
Client-site CA associate

Aditya Muley and Co

Mumbai

CA

View Details