This is really confusing-please help me

Final 870 views 8 replies

SVA Ltd. is preparing Budget for 2009. Data relating to sales, prices and costs are as follows:

Sales Price = Rs. 20.00 per unit
Variable Cost = Rs. 12.00 per unit
Fixed Costs = Rs. 2,00,000 per year

Quantity-probability
15000-10%
20000-10%
25000-10%
30000-20%
35000-30%
40000-10%
45000-10%

What are the probabilities of achieving sales volume of (1) 32500 units and (2) 18750 units.

As per my calculations the answer is (1)50% (2)90%

But, as per book the answer is (1)50% (2)10%

Please show your calculations.

Replies (8)

 I think you did the reverse way...U calculated the % by adding the balance prob %..for 18750 its 10 % because in rest 90% of cases its 20000 or above...

The question is asking what are the probabilities of achieving sales volume of 18750 units.  Here, we are achieving the sales volume at every level except the first level of 15000.  That’s why I added all the probabilities where we are achieving the sales target of 18750 or more.  Please suggest further.

hi gud evening ,

one of my frnd pursuing ca and mba regular course,therefore he has not yet submitted any letter that he is pursuing regular mba to institute

as he come to know that should submit  the letter before going for mba

even i dont have any idea ...whats the procedure ....

requesting you people to post the requisite procedure to pursue regular mba course along with chartered  accountancy

 

 

Dear Renuka,

In my knowledge i dont think that there is any procedure to do MBA course along with CA.

u have to take permission from the Institute for this

Hareesh's answer is correct. 

@ Renuka........... If your friend is doing pure distance learning MBA, only then fill up form 112 else dont bother to..... If there are lectures for the course, then your friend will be in a mess....

 please Renuka don post it inside other query..it can get quite disturbing..others post there answers for helping u..but the original query gets distracted..I hope u don mind me saying this

am sorry


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