Assignment 4

Question 1:

Calculate Breakeven Point when;

Salaried labour---4,000

Rent---3,000

Utilitiis-----1,300

Advertising expense-----700

Raw material------8000

Packaging expense------1,000

Selling price for the pizza------15

Monthly sales of pizza in units------1500

Question 2:

The following list of accounts for Company Risks Ltd. is available at the end of 2021. Prepare a
balance Sheet

Accounts payable for goods 132,000

Accounts payable for services 40,000
Accounts receivable 10,000
Accumulated depreciation of constructions 36,400
Advances to suppliers 12,000
Supplies 3,000
Retained Earnings 46,000
Rent Payable 150,000
Cash 96,150
Cash equivalents 500,000
Constructions 120,000
Expenses paid in advance 5,500
Common Stock 308,750
Interest payable to credit institutions 3,000
Inventories of other supplies 1,500
Land 140,000
Accrued Expense 20,000
Salary paid in advance 3,000
Short-term debt with credit institutions 150,000
Tax payable 5,000
 Question3:

Prepare an income statement for Towellers Company Limited for the period 1 July 2020 to 30
June 2022
COGS 2500,000
Selling expense 900,000
Interest revenue 50,000
Income tax 227,500
Revenue 500,000
Administrative expense 600,000

Question 4:
For two project the ROI are following:
Making a mall = 19.5
Making 5 houses = 14.6

Which option will you choose and why