Bill French had gathered information and calculated Break Even Point (BEP) based on few assumptions: 1) Product mix considered constant. 2) Considered that there is just one breakeven point for the company. 3) Fixed and variable cost is assumed to be constant. 4) No inventory. 5) Price assumed to be fixed. Calculation of breakeven point based on assumptions: Table 1: Initial Cost analysis Initial Calculation Aggregates A’ B’ C’ Sales at full capacity (Unit) 2000000 Sales unit 1500000 600000 400000
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$50 instead of $40. If this is done while the costs remain the same‚ what would the new breakeven point be? What would the total revenue be at this breakeven point? (Given in problem 1-19: fc of 2400 and vc of 25) (1-21) Mysi Farris (see problem 1-19) believes that there is a high probability that 120 pool cues can be sold if the selling price is appropriately set. What selling price would cause the breakeven point to be 120? (Given in problem 1-19: fc of 2400 and vc of 25) (1-23) A couple
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are used in a firm’s capital structure. If a high percentage of a firm’s capital structure is in the form of debt and preferred stock‚ then the firm is said to have a high degree of financial leverage. The breakeven point is that level of unit sales at which costs equal revenues. Breakeven analysis may be performed with or without the inclusion of financial costs. If financial
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penurunan. Rencana saat ini untuk tariff sewa kamarnya adalah sebesar $10 untuk kamar single dan $20 untuk kamar double. JAWABAN PERTANYAAN: Berapakah rata-rata kamar hotel yang harus disewakan setiap malam dalam musim tersebut untuk mencapai titik breakeven point? Variable Costs Cleaning Supplies $1‚920 Linen Service $13‚920 ½ Miscellaneous Expense $3‚657 Total Variable Cost $19‚497 Variable Cost /kamar semalam = Total variable cost/total harga kamar = $19‚497 / ($120 x 80 x 80%) = $2.54 Pendapatan/kamar
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1. Define production. What are the factors of production? Define production: Production means the creation of Utility. Through production inputs are converted into output which can satisfy or meet wants or demands. So production is a process of transforming inputs into useable outputs. Utilities are created in three forms such as (i) Changing the form (ii) changing time and (iii) changing place. Example: Wood in a forest generally has no utility to a consumer but cutting the wood‚ changing
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C LAMBCHOP DEVELOPMENTS DEVELOPMENT COMPARISON INTRODUCTION This report provides feasibility‚ cash flow and various risk analysis of the returns of two proposed developments with consideration for both Lambchop Developments‚ and for possible equity investor‚ Idaho Investments. The report will provide a summary of the analysis‚ a comparison of the developments and will make recommendations as to which development is most suitable both for the developer or investor. Target rates of return
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A2 Applied Business Unit 8: Business Planning Task 6 Worksheet Task Six: Financial Planning YOU CANNOT START AND/OR COMPLETE THIS WITHOUT A FINAL SALES FORECAST AND A LIST OF ALL YOUR OPERATIONAL COSTS ------------------------------------------------- Lesson breakdown ------------------------------------------------- Lesson 1: • Introduction to Financial Planning and how do we create an integrated plan: Focus on cash flow forecast using operations plan -------------------------------------------------
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$5‚ and $7 respectively. Management expects a sales mix as follows: 90‚000 units of tire X‚ 60‚000 units of tire Y‚ and 50‚000 tires of Z in September 2009. Hansen’s fixed costs are expected to be $552‚000 for the same month. 1. Determine the breakeven point in units for X‚ Y‚ and Z respectively 2. Determine the operating income at a total sales level 300‚000 tires (Ignore taxes) Answer 1 First‚ determine the ratio of sales of each product line to the total sales. Total sales is 90‚000 +
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Harrington Collection: Sizing Up the Active-Wear Market Harrington Collection is a manufacturer and retailer of high-end women’s clothes. It was founded in 1960 and it focused on the design and manufacturing of formal dresses. As the company evolved however‚ it incorporated suits‚ pants‚ blouses‚ coats and other professional dress items into their offerings. Harrington is divided into four divisions; Harrington Limited – sophisticated elegance‚ Sopra – status seeker‚ Christina Cole – office chic
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RUNNING HEAD: Contribution Margin and Breakeven Analysis Simulation Contribution Margin and Breakeven Analysis Simulation Juan Vázquez-Nieves‚ RN‚ BSN James Ciaramella University of Phoenix Contribution margin and breakeven analysis proved to be challenging‚ once again I’m face to interpret what I believe to be true. First going over the assign simulation was demanding to the point of taking the simulation three times or more‚ latter the article also proved to be a challenging in the attempts
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