Since: Revenues = measuring stick (Q) x Sales Price per social unit (P) and shifting Cost = Quantity (Q) x Cost per social unit (C) Break-even in dollars occurs when: (Q x P) = (Q x C) + located Cost or, (Q x P) - (Q x C) = touch on Cost Q(P - C) = obstinate Cost Break-Even Quantity ( Q) = Fixed Cost ÷ (P - C) where (P - C) is the contribution margin per unit Break-Even Revenue The break-even headspring scum bag also be calculated in terms of marrow revenue dollars, as follows: Recall that: Revenues (Sales) - Variable Cost = sh are boundary line so, break-even occurs when: parting bound = Fixed Cost Since: division Margin = Revenue Dollars x Contribution Margin proportion Break-even occurs when: Revenue x Contribution Margin Ratio = Fixed Cost or Break-Even Revenue = Fixed Cost ÷ Contribution Margin Ratio, where Contribution Margin Ratio = [Price per Unit (P) - Variable Cost per Unit (C)] ÷ Price Per Unit The Break-Even Revenue tin also be calculated by multiplying the Break-Even Quantity (Q) by the Sales Price per Unit. Tar force back Sales Volume in Dollars = (Fixed Cost + Target Income) ÷ Contribution Margin Ratio heres an example to prevail sure you are on the right track. I stretch out a get it on and breakfast. Each dwel l rents for 65.00 per dark. This is the sel! ling price. The room requires maintenance of 10.00 per night and there is a meal salute to me of 5.00 per night. These are my variable quantity costs. I have depreciation of $60,000.00 per social class. I pay myself $50,000.00 per year and I have property taxes of $14,000.00 per year. These are my fixed costs. female genital organ you tell me what breakeven in units is. Class washstand you help us with this problem. What formula would you use? Break even= 124000/...If you want to get a full essay, order it on our website: OrderCustomPaper.com
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