Sales revenue = breakeven sales + Fixed Cost
Sales revenue = 40000 + 30000
sales revenue = 70000
Prove
Sales revenue = 70000
Less: V.C = 40000
Contribution Margin = 30000
Less:Fixed Cost = 30000
Profit (loss) = Nill
Revenue at BREAK EVEN point is $0.00
Breakeven revenue is the amount required to make $0 profit once total fixed and variable costs have been deducted so the answer is 2160000 + 3000000 = $5160000
if sales revenue is provided instead of unit price then breakeven point can be determine by deducting variable costs from sales revenue and so on dividing fixed cost with contribution margin.
Break even point = Fixed Cost / contribution margin ratio Variable cost = 20% So Contribution margin = 80% Breakeven point = 40000000 / .8 = 50000000
Following data is required to calculate break even point: 1 - Sales revenue or sales price per unit 2 - variable cost per unit 3 - fixed cost
Amount of revenue that is needed to cover all of the fixed costs.
the break even is calculated as such: SP-VC=_ FC/_=(BREAK EVEN POINT) so in this case-->> £180,000-£60,000=£10,000 £30,000/£10,000 = 3 So the break eve the break even is calculated as such: SP-VC=_ FC/_=(BREAK EVEN POINT) so in this case-->> £180,000-£60,000=£10,000 £30,000/£10,000 = 3 So the break even point in here would be 3... :D
There question is incomplete:There is no variable cost given for manufacturing method B. I'll assume it is b.It is unclear as to quantity for which the cost of manufacturing by both methods is the same. I'll assume it is the break-even quantity.The break even point is when the revenue from sales = cost of manufactureSo the question is asking for what quantity is the cost of manufacture using method A equal to the cost of manufacture using method B.cost of manufacture = fixed cost + variable cost × quantityMethod A: manufacturing cost = 40,000 + 23 × quantityMethod B: manufacturing cost = 52,000 + b × quantity→ 40,000 + 23 × quantity = 52,000 + b × quantity→ 23 × quantity - b × quantity = 52,000 - 40,000→ quantity(23 - b) = 12,000→ quantity = 12,000/(23 - b)I'll let you fill in the value of b; if b has no variable cost, b = 0.
You would need to sell 1,888 chairs at 99.75 to break even. Revenues would be 188,328 and operating income would be 94,400. Net income would be 0, as at break even, you only cover your fixed and variable costs.
Only in ace combat 5. Get a fast plane like the mig 31 then at the beginning of any mission on any difficulty pull up the nose of the plane until it is completely vertical. After you hit 30000-40000 feet you will break the ceiling. When you hit 100000 ft random black holes will pop out in the sky and the plane will vibrate alot. In the replay your plane will look like it's spinning wildly
The Break Even Position(B.E.P.) is the point at which your sales cover your variable costs(contribution) and also your fixed costs but render no profits- 0 = Sales-Variable Costs-Fixed Costs If the above equation is satisfied, then the sales value is taken as break even point. So if a reduction in variable expenses occur, the break even point will also reduce.
It depends on what variable is represented by the graph.