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      Question

      If the fixed cost is Rs.43,500 and the company, the

      contribution is Rs.500 per unit, how many unit sales would a company need to do to earn a profit of Rs.15,000?
      A 30 units Correct Answer Incorrect Answer
      B 57 units Correct Answer Incorrect Answer
      C 87 units Correct Answer Incorrect Answer
      D 100 units Correct Answer Incorrect Answer
      E 117 units Correct Answer Incorrect Answer

      Solution

      BEP = (Fixed cost + Profit)/ contribution per unit             = (43500 + 15000)/500             = 117 units

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