50%
Formula for Breakeven point: Breakeven point = Fixed Cost / Contribution margin ratio Contribution margin ratio = Sales / contribution margin Contribution margin = sales - variable cost
Breakeven point = Fixed cost/Contribution margin Contribution margin = sales price - variable cost contribution margin = 20 - 7 = 13 Breakeven point = 173000/13 = 13307.7 units
Breakeven point = Fixed Cost / Contribution margin Contribution margin = (Sales - Variable cost) / Sales
Breakeven 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
Breakeven point = Fixed cost / contribution margin ratio contribution margin ratio = sales - variable cost / sales.
Formula to calculate breakeven point is as follows: Break even point = Fixed cost / contribution margin Contribution margin = Sales - Variable cost
breakeven = fixed cost / contribution margin ratiocontribution margin ratio = sales - variable cost / sales
Fixed cost = 300000 Contribution margin ratio = (sales - variable cost) / sales Contribution margin ratio = (10 - 7 ) / 10 Contribution margin ratio = .3 breakeven point = 300000 / .3 = 1000000
Break even sales = fixed cost + desired profit / contribution margin ratio Fixed cost = breakeven point sales * contribution margin Fixed cost = 352000 * 0.35 = 123200 Breakeven point = (123200 + 104300 ) / 0.35 Breakeven point = 332857
Breakeven point = fixed cost/contribution margin ratio350000 = 105000/ contribution margin ratioContribution margin ratio = 105000/350000Contribution margin ratio = 0.3 or 30 %
1. Breakeven point = fixed cost/ contribution margin ratio contribution margin ratio: (sales - variable cost)/sales Sales = 20000 * 40 = 800000 Less: Variable cost = 20000 * 10 = 200000 Contribution margin = 600000 Contribution margin ratio = 600000/800000 = .75 Breakeven point in dollars = 120000/.75 = $160000 breakeven point in units = 160000 / 40 = 4000