Sales @ Rs. 90 per unit
The board of directors are dissatisfied with the result and plans. Implementation of a new marketing programme would increase the Fixed Costs by Rs. 1,92,000 and Variable Costs by Rs. 10 per unit and increase the selling price by 5%. This will increase the sales units by 15%.
You are required to calculate new and old break-even units and also evaluate whether the proposed change is acceptable or not.