"It is now expected that the variable production cost per unit and the selling price per unit will each increase by 10%, and fixed production cost will rise by 25%. What will be the new break even point?
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.
"
A. 8,788 units
B. 11,600 units
C. 11,885 units
D. 12,397 units
Answer: Option C
Kindly solve total fixed cost.
Contribution per unit is 5.28= (6.6-1.32)
Selling price 6×1.1=6.6
Variable production cost 1.2×1.1 = 1.32
can you solve it please