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The P/v ratio of a company is 50% and margin of safety is 40%. If present sales is Rs 30,00,000 then Break Even Point in Rs will be
- ARs 9,00,000
- BRs 18,00,000
- CRs 5,00,000
- DNone of the above
Correct answer: B
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0
CCommunity
Rs 18,00,000
Break even point = 3000000 / (100% - 40%)
= Rs. 1800000
Break even point = 3000000 / (100% - 40%)
= Rs. 1800000
0
CCommunity
MOSR =[( TS- B-E point ) 100]/TS
or, 40 =[ ( 3000000 - x) 100] / 3000000
or, 3000000 - x = [(3000000) 40] / 100
or, x - 3000000 = - 1200000
or, x = 3000000 - 1200000
or, x = 1800000
There for, Brake-Even point = ₹ 1800000
or, 40 =[ ( 3000000 - x) 100] / 3000000
or, 3000000 - x = [(3000000) 40] / 100
or, x - 3000000 = - 1200000
or, x = 3000000 - 1200000
or, x = 1800000
There for, Brake-Even point = ₹ 1800000
0
CCommunity
BEP=TOTAL SALES - MS
BEP= 30,00,000-40%=18,00,000
BEP= 30,00,000-40%=18,00,000