MAS Final Preboard Solutions B93
MAS Final Preboard Solutions B93
9. Sales ₱200,000
₱120,000
Less break even sales(₱70,000 ÷ ₱200,000) 116,667
Margin of safety ₱ 83,333
28. CM after tax but before depreciation (3,000 x ₱50 x 70%) ₱105,000
Tax savings due to depreciation (₱15,857 x 30%) 4,757
Net cash inflows ₱109,757
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Final Pre-board Examination – SOLUTIONS GUIDE APRIL, 2023 93RD Batch
24%
4=
% 𝑐ℎ𝑎𝑛𝑔𝑒 𝑖𝑛 𝑠𝑎𝑙𝑒𝑠
24%
% change in sales = = 6%
4
365
Collection period = 16.67 = 21.9 = 22 days
3 360
39. Cost of credit = 97 x 30−10 = 55.62%
50,000
40. Lead time requirement = 52 𝑤𝑒𝑒𝑘𝑠−2 𝑤𝑒𝑒𝑘𝑠 x 4 weeks lead time 4,000
Safety stock 750
Reorder point 4,750
46. Only the variable selling cost of ₱2 is relevant. All the other costs are sunk costs.
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Final Pre-board Examination – SOLUTIONS GUIDE APRIL, 2023 93RD Batch
47. The maximum amount per unit that should be paid is the savings by not making the product (avoidable costs):
48. The differential cost includes all the variable manufacturing and selling costs:
₱259,100+ ₱350,500
Average inventory = 2
= ₱304,800
₱1,500,000
Inventory turnover = = 4.92
₱304,800
₱5,000− ₱2,000
2 = 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐿𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑒𝑠
₱3,000
Current Liabilities = 2
= ₱1,500
59. A B C
Sales revenue ₱12,000 ₱ 48,000 ₱ 40,000
Less variable costs:
Total operating cost ₱11,400 ₱59,800 ₱ 50,500
Less allocated fixed cost 3,000 12,000 10,000
Variable cost ₱ 8,400 ₱47,800 ₱40,500
Segment income (loss) ₱ 3,600 ₱ 500 (₱ 500)
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