Period I :- Sales= Rs 15000. Profit= Rs 400. Period II :- Sales= Rs 19000. Profit= Rs 1150. Calculate : a) P/V ratio. b) Profit when sales are Rs 12000. Cc) Sales required to earn a profit of Rs 2000. d) Margin of safety in period II. e) variable cost in period I.
- 1 Answers
- 3637 Views
- I also Faced
- E-Mail Answers
Answer / p.venketeswara
(a)P/V ratio=change in profit /change in sales*100. Now the following is the answer:-1150-400/19000-15000=750/4000*100=18.75%.(b) profit when sales are rupees 12000 the answer is (163) it is loss.but before calculating the above answer we should find out the fixed cost amount here fixed cost is 2412.50(approximately) 2413. fixed cost formula is sales *P/V ratio-profit.(c) sales required to earn profit of Rs 2000. sales is Rs 23536.(d) margin of sa fety=total sales-break even sales .so answer is Rs 6130. (e) variable cost for the period 1 is Rs 12187.
| Is This Answer Correct ? | 4 Yes | 0 No |
Trial balance as on 31st March, 2014 Particulars Debit Pula Particulars Credit Pula Wages 14 100 Dividends received 4 300 Salaries 13 000 Bank overdraft 41 000 Opening Stock 40 000 Returns 1 000 Machinery 49 000 Creditors 14 200 Investments 30 700 Sales 258 500 Drawings 23 000 Capital 30 000 Purchases 130 000 Returns 2 000 Debtors 18 000 Advertising 13 400 Interest 4 800 Cash 11 000 349 000 ======= 349 000 ======== Additional information: 1. Closing stock is valued at P53 000. 2. Wages include P350 being advance against wages. 3. Wages include P1 000 paid for erection of machinery. 4. A purchase of stationery for P430 has been inadvertently included in the Purchases account. 5. A sale of investments with a book value of P2 600 for P2 500 has been included in the Sales Account. 6. Salaries include P150 per month paid to the proprietor’s domestic servant. 7. Machinery is to be depreciated by 10 per cent. Required: a. The revenue statement (Trading and Profit and Loss Account) for the year ended 31st March 2014 and b. Statement of financial position (Balance Sheet) as on 31st March, 2014.
whats the sales tax slab and company's turnover professional tax slab
what is forex management?
What is the meaning of Trial Balance.
What is a accounting entries for entering a invoice
Capital reserve is - a) real account b) nominal account c) personal account d) none of them
What is Use of Reversing Journal(F10)& Optional Voucher(Ctrl+L) in Tally erp9?
We have purchased some good from our vendor and we asked them to transport the same to some address but they have raised a debit note to us for transportation instead of invoice. Same like we have given some order to manufacture for developing that product they have charged some amount for that also they have raised the debit note. How to account these type of debit notes in tally..?
what is assessment how many more type assesment?
How to show discount received in Tally?
Were i have to enter for agreements in tally and in which ledger it will come
Explain me fair value accounting?
Audit 
