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Indian Institute of Foreign Trade 2017 Solved Paper

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Question : 63

Total: 114

Suntex Company plans to manufacture a new product line of Razor next year and sell it at a price of Rs. 12 per unit. The variable costs per unit in each production run is estimated to be 50% of the selling price, and the fixed costs for each production run is estimated to be Rs. 50,400. Based on their estimated costs how many units of the new product will company Suntex need to manufacture and sell in order for their revenue to be equal to their total costs for each production run?

5400
4200
8400
2100

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