Break Even Point tells us about how many units can be sold to ensure no profit or no loss. If the sales volume is less than break even point firm will incur loss and If the sales volume is more than break even point firm will earn profits. At break even Point Contribution is Equal to Fixed costs. Contribution can be calculated by deducting variable cost from selling price. Therefore Break Even Point(Sale Volume)= Fixed Costs/(Selling Price Per Unit-Variable Cost Per Unit)
Answer b
Break-even analysis provides a framework for understanding interrelationships between: 2. (1 mark) Fixed costs, Direct costs,...
break-even analysis ms 13-1 BREAK-EVEN ANALYSIS A company's fixed operating costs are $430,000, its variable costs are $2.95 per unit, and the product's sales price is $4.50. What is the company's break-even point; that is, at what unit sales volume will its income equal its costs?
BREAK-EVEN ANALYSIS A company's fixed operating costs are $500,000, its variable costs are $2.30 per unit, and the product's sales price is $4.80. What is the company's break- even point; that is, at what unit sales volume will its income equal its costs? Round your answer to the nearest whole number. units
BREAK-EVEN ANALYSIS A company's fixed operating costs are $570,000, its variable costs are $2.20 per unit, and the product's sales price is $5.35. What is the company's break-even point; that is, at what unit sales volume will its income equal its costs? Round your answer to the nearest whole number. units
define in your own words the following: Fixed costs Variable costs Break-Even Volume Sunk Costs Direct Variable Costs Indirect Variable Costs Unique Value Proposition What are the 5C’s of marketing. Explain their meaning in your own words List the 4P’s of marketing. Explain their meaning in your own words.
a. 13-6 BREAK-EVEN ANALYSIS The Warren Watch Company sells watches for $26, fixed costs are $155,000, and variable costs are $13 per watch. What is the firm's gain or loss at sales of 9,000 watches? At 15,000 watches? b. What is the break-even point? Illustrate by means of a chart. What would happen to the break-even point if the selling price was raised to $33? What is the significance of this analysis? d. What would happen to the break-even point...
BREAK-EVEN ANALYSIS The Warren Watch Company sells watches for $26, fixed costs are $130,000, and variable costs are $11 per watch a. What is the firm's gain or loss at sales of 5,000 watches? Enter loss (If any) as negative value. Round your answer to the nearest cent. What is the firm's gain or loss at sales of 20,000 watches? Enter loss (if any) as negative value. Round your answer to the nearest cent. b. What is the break-even point...
BREAK EVEN ANALYSIS The Warren Watch Company sels watches for $25, fixed costs are $195,000, and variable costs are $14 per watch. a. What is the firm's gain or loss at sales of 5,000 watches? Enter loss (if any) as negative value. Round your answer to the nearest cent. What is the firm's gun or loss at sales of 20,000 watches? Enter loss (any) as negative value. Round your answer to the nearest cent b. What is the break-even point...
Break-Even Analysis Break-even analysis attempts to determine the volume of sales necessary for a manufacturer to cover costs or to make revenue equal costs. It is helpful in setting prices, estimating profit or loss potentials, and determining the discretionary costs that should be incurred. The general formula for calculating break-even units is Break-Even Units = Total Fixed Costs / ( Unit Selling Price − Unit Variable Cost ) 1. Use the formula to calculate how many cups of coffee an...
Sales Mix and Break-Even Analysis Conley Company has fixed costs of $17,802,000. The unit selling price, variable cost per unit, and contribution margin per unit for the company’s two products follow: Product Model Selling Price Variable Cost per Unit Contribution Margin per Unit Yankee $180 $99 $81 Zoro 225 135 90 The sales mix for products Yankee and Zoro is 80% and 20%, respectively. Determine the break-even point in units of Yankee and Zoro. 1 eBook Show Me How Sales...
Company use absorption costs approach for its sales and cost analysis what is break even point/revenue? No beginning inventories so the production equals the sales volume, Variable and fixed cost are all manufacturing costs BUDGET Apple Strawberry Selling price 5.00 5.50 Variable cost 2.70 2.90 Fixed cost 9,000 4,500 Sales Volume 25,000 10,000