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HOME Appliances Limited produces kettles at its factory. For the 6 months ended 31 December...

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Accounting

HOME Appliances Limited produces kettles at its factory. For the 6 months ended 31 December 2020, the following information is available.
Rent of the factory was 3800 per quarter (three months).
Payments to the workforce were at a rate of 3.60 per kettle.
Material costs were 4.25 per kettle.
Managers salaries were 5700 per month.
Delivery costs were 20 pence (0.20) per kettle.
Other fixed costs were 2440 per month.
Production of kettles for the 6-month period was 9200 kettles.
All output is sold.
Selling price was 14.95 per kettle.
Required:
(a) Calculate for HOME Appliances Limited for the 6-month period ended 31 December 2020 the:
(i) break-even point in units of output
(ii) margin of safety in sales revenue
(iii) profit or loss.

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