Answer:
5. ₱170,000
6. 160,000 units
Explanation:
5. At a sales volume of 500,000 units, the revenue is ...
₱0.50 × 500,000 = ₱250,000
The profit s the difference between revenue and cost:
profit = ₱250,000 -₱80,000
profit = ₱170,000
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6. The break-even quantity is the number that produces a revenue equal to cost:
₱0.50×q = ₱80,000
q = ₱80,000/₱0.50 = 160,000
The break-even quantity is 160,000 units.
