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1 Below are Fathurrahman Company unfinished report for operating results for the month of June...

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Accounting

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1 Below are Fathurrahman Company unfinished report for operating results for the month of June (Rp in thousands) Sales (7,000 units) Variable costs Contribution Margin Fixed Expense Net Income Fathurrahman Company CVP Income Statement Total Rp280.000 Rp112.000 Rp168.000 Rp85.000 Rp83.000 Per Unit Rp40 Rp 16 Rp24 In order to increasing net income, management is considering increasing selling price by 15% and decreasing 5% unit variable costs with no changes in fixed costs. Compute break-even point in units and sales: a. assuming no changes to sales price or costs, and b. assuming changes to sales price and volume as describe above c. should the management implement the changes or not a Assuming no changes to sales price or costs: Break-even point in units (roundup) Break-even point in sales b Assuming changes in sales price (increase sales price 15% and decreasing 5%) Break-even point in units (roundup) Break-even point in sales (write opinion whether the management implement the changes or not in this column)

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