Costing

36. Which of the following statements are true about ratio analys is? 1. Ratio analysis is useful in financial analysis. 2. Ratio analysis is helpful in communication and coordination. 3. Ratio analysis is not helpful in identifying weak spots of the business. 4. Ratio analysis is helpful in financial planning and forecasting.

1, 2 and 4
1, 3 and 4
1, 2 and 3
1, 2, 3 and 4

Detailed SolutionWhich of the following statements are true about ratio analys is? 1. Ratio analysis is useful in financial analysis. 2. Ratio analysis is helpful in communication and coordination. 3. Ratio analysis is not helpful in identifying weak spots of the business. 4. Ratio analysis is helpful in financial planning and forecasting.

39. “How many units must be sold if company wants to achieve a profit of Rs 11,000 for the year? Selling price – Rs 6 per unit Variable production cost – Rs 1.20 per unit Variable selling cost – Rs 0.40 per unit Fixed production cost – Rs 4 per unit Fixed selling cost – Rs 0.80 per unit Budgeted production and sales for the year are 10,000 units.”

2,500 units
9,833 units
10,625 units
13,409 units

Detailed Solution“How many units must be sold if company wants to achieve a profit of Rs 11,000 for the year? Selling price – Rs 6 per unit Variable production cost – Rs 1.20 per unit Variable selling cost – Rs 0.40 per unit Fixed production cost – Rs 4 per unit Fixed selling cost – Rs 0.80 per unit Budgeted production and sales for the year are 10,000 units.”

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