If the price per unit decreases because of competition but the cost structure remains the same
Increase in the price at which you SELL the good if the cost price at which you BOUGHT/PRODUCED the good remains the same or Decreased Cost Price with a Stable Selling Price. Basically anything that would result in the difference between the Selling Price and Cost Price increasing favourably.
Variable cost per unit remains same with level of production and no change in change in level of production.
Unit cost decreases
Selling price less profit equals cost price. The markup is the profit plus cost price.
Net profit margin can go down because the price of a product or service decreases. It can also go down because the cost of the item increased.
If the price per unit decreases because of competition but the cost structure remains the same
Yes breakeven point will rise because contribution margin per unit reduces that's why more units require to recover fixed cost.
it means the cost stays the same
Increase in the price at which you SELL the good if the cost price at which you BOUGHT/PRODUCED the good remains the same or Decreased Cost Price with a Stable Selling Price. Basically anything that would result in the difference between the Selling Price and Cost Price increasing favourably.
Yes it is a fixed cost. Reason being that a fixed cost remains unchanged in total as the level of activity increases or decreases. Example of fixed costs include depreciation of plant and equipment, cost of council rates and rent.
A remains constant and B decreases. profit decrease
Variable cost per unit remains same with level of production and no change in change in level of production.
The cotton gin made labor easy for people or slaves, so the cost decreases.
The eventual cost of the Grand Coulee Dam was about 300 million dollars. It still remains the largest concrete structure ever built.
By doing a cost accounting.. Take the ingardients,manpower,time,infra invested in the process.Add all the costs and add your margin.That is the price!
A 2-pint bottle of peanut oil costs $2.80. If the unit price remains the same, how much will 2 gallons of peanut oil cost?
the coast of two gallons is $14.32