Economics · Management Accounting
A firm reduces its unit variable cost from Rs. 900 to Rs. 750 by optimizing its supply chain. If Fixed Costs remain at Rs. 4,500,000 and the Selling Price stays at Rs. 1,500, what is the new Break-Even Point (BEP) in units and the resulting Margin of Safety (MOS) in units if actual sales remain at 12,000 units?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1New BEP is 5,000 units; MOS increases to 7,000 units.
- 2New BEP is 7,500 units; MOS remains unchanged at 4,500 units.
- 3New BEP is 6,000 units; MOS increases to 6,000 units.✓
- 4New BEP is 6,000 units; MOS increases to 6,000 units.
Correct answer
New BEP is 6,000 units; MOS increases to 6,000 units.
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Start Free Mock Test →Preparing for Economics?
Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice Management Accounting MCQs →Want more practice questions on Management Accounting?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Economics · Management Accounting