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Q.1. The following information is collected from the records of a Firm:
First year Second Year
Sales SR 135,000 SR 180,000
Profit SR 25,500 SR 34,500
Calculate: (a) P.V. Ratio, (b) Fixed Cost, and (c) Break - even point.
Q.2. From the following particulars, find out the selling price per unit if BEP is to be brought up to
12, 000 units.
Variable Cost per unit = SR 80
Fixed Expenses = SR 320,000
Selling Price per Unit = SR 120
Q.3.
Calculate profit and sales with the help of the following information:
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Selling expenses
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SR 5,000
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Telephone charges
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SR 9,000
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Opening Stock of Raw Material
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SR 7,400
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Freight Charges
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SR 4,000
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Closing Stock of Finished goods
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SR 6,000
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Opening Finished Goods
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SR 9,500
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Depreciation of Factory Plant
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SR 8,000
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Opening Stock of Work in Process
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SR 10,000
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Factory Insurance
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SR 6,500
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Closing Stock of Work in Process
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SR 8,600
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Closing Stock of Material
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SR 5,000
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Office Expenses
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SR 4,500
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Direct labor
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SR 2,000
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Office Insurance
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SR 4,000
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Direct Material
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SR 20,000
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Profit
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25% of Sales
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Q.4. Calculate Prime Cost, Factory Cost, Cost of Production, Cost of sales and Profit from the following details:
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Direct Material
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SR 8,000
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Direct Labor
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SR 4,000
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Freight charges
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SR 3,000
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Factory Expenses
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SR 2,500
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Administrative Expenses
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SR 1,500
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Selling Expenses
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SR 2,500
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Sales
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SR 25,000
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