If total sales Rs. 5,00,000 and margin of
safety is 40%, then Break-even point (BEP)
sales is equal to:
Answers
Answered by
1
Answer:
BEP = Rs.300000/-
Explanation:
Margin of safety(%) = (Margin of safety/sales) * 100
so 40 = (Margin of safety/500000) * 100
Margin of safety = 40 * 500000/100 = 200000
Margin of safety = Total sales - Break even point (Sales)
so
Break Even Point (sales) = Total Sales - Margin of safety
=500000 - 200000 = 300000 (BEP)
Answered by
0
Answer:
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