1. Following are the methods to find fixed and variable costs if sales and cost is provided:
1 - High Low Method
2 - Scattered Diagram method
3 - Regression analysis method
Fixed cost = total cost / sale volume
Formula for breakeven point = Fixed Cost / Contribution margin Contribution margin = Total Sales - variable cost SO using above mentioned formula break even sales can be found.
Break even point = Fixed cost / Contribution margin ratio Contribution margin ratio = (sales - variable cost ) / Sales
Breakeven point = Fixed cost / contribution margin ratio contribution margin ratio = sales - variable cost / sales.
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
Fixed cost = total cost / sale volume
Total Costs = Fixed Cost + Variable Cost soVariable Cost = Total Costs - Fixed Cost.
You cannot. Sales and variable costs must be functions of the units (quantities) sold and produced.
Break even point = Fixed cost / Contribution margin ratio Contribution margin ratio = (sales - variable cost ) / Sales
Formula for breakeven point = Fixed Cost / Contribution margin Contribution margin = Total Sales - variable cost SO using above mentioned formula break even sales can be found.
Breakeven point = Fixed cost / contribution margin ratio contribution margin ratio = sales - variable cost / sales.
To determine the variable cost in a business scenario when given the fixed cost, you can subtract the fixed cost from the total cost. Variable costs are expenses that change based on the level of production or sales, while fixed costs remain constant regardless of production levels. By subtracting the fixed cost from the total cost, you can isolate the variable cost component.
Formula to calculate breakeven point is as follows: Break even point = Fixed cost / contribution margin Contribution margin = Sales - Variable cost
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
sale-variable cost=(contribution)-fixed cost =(profit):this is the statement of marginal cost. (profit volume ratio)p/v ratio=contribution÷sales x 100 mos(margin of safety)=actual sales-break even point(BEP)sales. mos(margin of safety)units=actual sales(units)-break even point(BEP)sales.(units) BEP(rs)=fixed cost ÷ pv ratio BEP(units)=fixed cost ÷ contribution per units required sales(rs)=fixed cost+desired profit ÷ pv ratio required sales(units)=fixed cost+desired profit ÷ contribution per unit . ( there is different formula for..when 2yr profit & sales are given) (
Well if you're given the total cost of 0 units, then that would be your fixed cost as FC doesn't vary with any change in the total output produced (quantity).
Formula for Breakeven point: Breakeven point = Fixed Cost / Contribution margin ratio Contribution margin ratio = Sales / contribution margin Contribution margin = sales - variable cost