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Urgent!!!! indiffernce point -costing

498 views 6 replies

Somebody please help how to calculate indfference point in case of three alternatives

 

if three alternatives avlble like VC Rs3 ,4,6 and fixed cost be Rs Rs 15000. 10000 and 5000

Replies (6)
change in fixed cost/ changein variable cost

indifference point is always calculated for two options
for 1 and 2 15000-10000/4-3 will come 5000 units
like wise calculate for 2 and 3 , 1 and three

Just compute for alternatives like a to b b to c and a to c. Put all the figures in one line. Compare what is best for each quantity

 

Compute for alternatives like a to b b to c and a to c

Compare what is best

You can refer question 11 of practice manual of icai on page no. 2.36

thank you very much, had the same doubt! :)


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