PROBLEM 2 D.

Breakeven Quantity and Revenue

VC (per unit)= ₱ 10.00 TR = TC
SP (per unit)= ₱ 15.00 P15n = P6,000 + P10n
FIXED COST ₱ 6,000.00 P15n - P10n = P6,000
P5n = P6,000
A. TR = P 15 n Breakeven N 1,200
TC = P 6,000 + P10 n Breakeven Sales ₱ 18,000.00
P = P15 n -(P 6,000 + P10 n)
P = P15n - P6,000 - P10n E. Amount of Variable Cost
P = P5n - P6,000 TR = TC
P15(500) = P6,000 + 500n
B. Sales volume; P= P8,000 P7,500 = P6,000 + 500n
P8,000 = P15n -(P6,000 + P10n) P7,500 - P6,000 = 500n
P8,000 = P15n - P6,000 - P10n P1,500 = 500n
P8,000 + P6,000 = P15n - P10n Variable Cost (new) ₱ 3.00
P14,000 = P5n Variable Cost (old) ₱ 10.00
Sales Volume = 2,800 units decreased by ₱ 7.00

C. Profit when sales are 500 units F. Amount of Fixed Cost

P = P5n - P6,000 TR = TC
P = P5(500) - P6,000 P15(800) = N + P10(800)
P = P2,500 -P6,000 P12,000 = N + P8,000
P = P-3,500 P12,000 - P8,000 = N
Fixed Cost (new) ₱ 4,000.00
Fixed Cost (old) ₱ 6,000.00
decreased by ₱ 2,000.00

G. Selling Price
TR =TC
500n = P6,000 + P10(500)
500n = P6,000 + P5,000
500n = P11,000
Selling Price (new) ₱ 22.00
Selling Price (old) ₱ 15.00
increased by ₱ 7.00
eakeven Quantity and Revenue

5n = P6,000 + P10n
5n - P10n = P6,000

units

mount of Variable Cost

5(500) = P6,000 + 500n

,500 = P6,000 + 500n
,500 - P6,000 = 500n
,500 = 500n

mount of Fixed Cost

5(800) = N + P10(800)
2,000 = N + P8,000
2,000 - P8,000 = N

0n = P6,000 + P10(500)
0n = P6,000 + P5,000
0n = P11,000
PROBLEM 3
VC (per unit)= ₱ 30.00 D. Amount of Fixed Cost
SP (per unit(= ₱ 40.00 TR = TC
FIXED COST ₱ 60,000.00 P40(500) = N + P30(500)
P20,000 = N + P15,000
TR = P 40 n P20,000 - P15,000 = N
TC = P 60,000 + P30 n N/FC = ₱ 5,000.00
P = P40 n -(P 60,000 + P30 n) OLD FC ₱ 60,000.00
NEW FC ₱ 5,000.00
A. Profit when sales are 10,000 units. decreased by ₱ 55,000.00
P = P40(10,000) -[P60,000 + P30(10,000)
Profit= ₱ 40,000.00 F. Units to cover FC
TR = FC
B. TC = TR P40n = P60,000
P60,000 + P30n = P40n N= 1,500
P60,000 = P40n - P30n
P60,000 = P10n G. For example
Breakeven N= 6,000 units REAL
Breakeven R= ₱ 240,000.00 Selling Price ₱ 40.00
Breakeven Units ₱ 42.00
C. Sales volume when profit is P9,000 Solution = 5,000n = P60,000 + P30 (5,000)
P9,000= P40n - (P60,000 + P30n) Breakeven SP= ₱ 42.00
P9,000=P40n-P60000-P30n
In the example above, when the breakeven p
P9,000 = P10n - P60,000 decreased, having fixed cost and variable cost con
P60,000 + P9,000 = P10n the selling price would likely increase. This is for t
P69,000 = P10n reason that there is an inverse relationship betwe
selling price and breakeven units ( fixed cost and
N= 6,900 units cost constant), and increase in selling price will re
decrease in breakeven units and vice-versa.
mount of Fixed Cost

0(500) = N + P30(500)
20,000 = N + P15,000
0,000 - P15,000 = N

its to cover FC

0n = P60,000
units

SUPPOSED
6,000
5,000
000n = P60,000 + P30 (5,000)

above, when the breakeven point is

fixed cost and variable cost constant -
uld likely increase. This is for the
s an inverse relationship between
eakeven units ( fixed cost and variable
increase in selling price will result to a
ven units and vice-versa.
PROBLEM 4
SP(per unit)= P 0.80 C.
VC(per unit)= P 0.60
FC = P12,000
Total Cost=
TR = P0.80n
TC = P12,000 + P0.60n D.
P = P0.80n - (P12,000 + P0.60n)

A. Breakeven point in Sales

TR = TC
P0.80n = P12,000 + P0.60n Fixed Cost (new)
P0.80n - P0.60n = P12,000 Fixed Cost (old)
P0.20n = P12,000 decreased by
Breakeven N= 60,000 units
Breakeven - sales= ₱ 48,000.00 E.

B. Profit when sales are 10,000 units

P = P0.80(10,000) - [P12,000 + P0.60 (10,000)]
P = P8,000 - (P12,000 + P 6,000)
P = P8,000 - P12,000 - P 6,000 Selling Price(new) =
Profit = -₱ 10,000.00 Selling Price(old) =
increased by
TC when sales are 5,000 units
TC = P12,000 + P0.60 (5,000)
TC = P12,000 + P3,000
₱ 15,000.00

Amount of Fixed Cost

TR = TC
P0.80(4,000) = N + P0.60(4,000)
P3,200 = N + P2,400
P3,200 - P2,400 = N
₱ 800.00
₱ 12,000.00
₱ 11,200.00

Amount of Selling Price

TR = TC
4,000n = P12,000 + P0.60(4,000)
4,000n = P12,000 + P2,400
4,000n = P14,400
₱ 3.60
₱ 0.80
₱ 2.80
PROBLEM 5 C. VC = 70% OF SP
Selling Price (per unit) = P10 SP = P10
FC = P5,000
A. Total Revenue if 1,800 units TC = P 5,000 + .70(P10)(n)
P10 (1,800) TC = P 5,000 + P 7(n)
SP = ₱ 18,000.00 Total Cost = ₱ 17,600.00
D. VC = 20% OF SP
B. FC = P3,000 SP = P10
VC = P5 VC = P2
TC = P 3,000 + P 5 (n) FC = P1,000
Breakeven? TR = TC
P10n = P1,000 + P2n
P10n - P2n = P1,000
P8n = P1,000
Breakeven 125 units
PROBLEM 1
SP = P12
FC = P40
VC = P7
*SP = decreased by 10% of units sold
240
Let x = number of products sold 5400
5400
A. New Selling Price = (P 12 - 0.10n) per unit 1
2
B. TR = (P 12 - 0.10n) n 3
TR = P12n - 0.10n2 4
5
5400 6
240 8
2500
250
350
5400
5400
2700
1800
1350
1080
900
675
 MACHINE
WORKER ROW MIN
A B C D E
1 9 5 7 9 3 3
2 8 5 5 9 4 4
3 5 3 1 3 0 0
4 4 6 7 0 5 0
5 2 3 2 7 8 2

MACHINE
WORKER
A B C D E
1 6 2 4 6 0
2 4 1 1 5 0
3 5 3 1 3 0
4 4 6 7 0 5
5 0 1 0 5 6
COLUMN 0 1 0 0 0
MIN

WORKER MACHINE WORKER

A B C D E
1 6 1 4 6 0 1
LOWEST 2 4 0 1 5 0 2
3 5 2 1 3 0 3
4 4 5 7 0 5 4
4 ZEROES 5 0 0 0 5 6 5
COLUMN COLUMN
MIN 0 1 0 0 0 MIN

MACHINE
WORKER WORKER
A B C D E
1 6 1 4 6 0 1
2 4 0 1 5 0 2
3 5 2 1 3 0 3
4 4 5 7 0 5 4
5 0 0 0 5 6 5

MACHINE
WORKER
A B C D E
1 6 1 4 6 0
2 4 0 1 5 0
3 5 2 1 3 0
4 4 5 7 0 5
5 0 0 0 5 6
MACHINE WORKER MACHINE
A B C D E 1 E
5 1 3 6 0 2 B
3 0 0 5 0 3 C
4 2 0 3 0 OPTIMAL 4 D
3 5 6 0 5 5 A
0 1 0 6 7

0 1 0 0 0

MACHINE
A B C D E
5 1 3 6 0
3 0 0 5 0
4 2 0 3 0
3 5 6 0 5
0 1 0 6 7
DEFECTIVES
3
5
1
0
2