Q1. Examine with suitable examples, how “organization strategy provides a valuable contribution in achieving organization vision?” Give an example of a Saudi company and assess two examples of organizational strategies and operating plans. (2 Marks)
Answer:
Q2. X Ltd. manufactures plastic products and sells them for SAR 350 per unit. The firm’s variable cost per unit is SAR 90, while its total fixed costs are SAR 110,000. The company expects to sell 1,800 units in the coming year. Calculate the following: (2 Marks)
- Degree of operating leverage
- Margin of safety in units
- Margin of safety in SAR value
- Margin of safety in percentage
