1. EXCERCISES ON BES

2. Compute the Break-even sales in pesos and units 1.A product line is sold at a unit selling price of P9.00. Variable cost is estimated to be 60% of sales. Total fixed cost is P360,000 2.The annual fixed cost is P100,000. each unit sold contributes P6.00 to the recovery of fixed cost and to profit. Unit variable cost is P6.00

3. 3.The total annual fixed cost amounted to P150,000. Each unit contributes 25% when it is sold at a unit selling price of P5.00 4.Total sales is P1,000,000 when the unit selling price is P5.00. Total annual fixed cost is P400,000 and total amount of variable cost, P600,000 5.Total amount of fixed cost and variable cost are P60,000 and P140,000 respectively. Unit selling price is P20.00

4. 6.Variable cost ratio is 60%. Annual fixed cost amounted to P240,000. Unit selling price P20,000 7.Contribution margin rate is 30% of the unit selling price of P10.00. Total annual fixed cost is P120,000