(a)[2]
State two advantages of break-even analysis.
(b)[2]
Define what is meant by 'fixed costs'.
(c)[3]
Calculate variable cost per unit.
(d(i))[2]
Calculate the monthly revenue for this plan.
(d(ii))[6]
Prepare a budgeted marginal costing statement for one month using this plan for total production.
(e)[7]
Prepare a budgeted production plan for June 2022 to show the highest profit available.
(f)[3]
Calculate the profit or loss from the extra units if this plan is carried out in May 2022.
(g)[5]
Advise the directors whether they should keep the original budgeted production plan in (e) or raise production in May 2022 as the director suggests in his alternative plan. Justify your advice.