Question
Selling price per unit = ₹50, Variable cost = ₹30,
Fixed cost = ₹1,00,000. Calculate break-even sales and contribution margin ratio.Solution
CM/unit = ₹20; BEP units = 1,00,000/20 = 5,000 units = 5,000×₹50 = ₹2,50,000; CM ratio = 20/50 = 40%
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