Definition of Break Even point: Break even point is the level of sales at which profit is zero. According to this definition‚ at break even point sales are equal to fixed cost plus variable cost. This concept is further explained by the the following equation: [Break even sales = fixed cost + variable cost] The break even point can be calculated using either the equation method or contribution margin method. These two methods are equivalent. Equation Method: The equation method centers on
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HOW PRODUCTIVITY IS DETERMINED Productivity is the quantity of goods and services produced from each unit of labor input. Productivity’s key role in determining living standards is as true for nations as it is for stranded sailors. Recall that an economy’s gross domestic product (GDP) measures two things at once: the total income earned by everyone in the economy and the total expenditure on the economy’s output of goods and services. GDP can measure these two things simultaneously because‚ for
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Contribution of Agriculture and Petroleum Sector to the Growth and Development of the Nigerian Economy from 1960-2010 By 1 1 Aminu Umaru and 2Anono Abdulrahman Zubairu Department of Economics & 2Department of Management Technology School of Management and Information Technology Modibbo Adama University of Technology‚ Yola‚ Adamawa State‚ Nigeria. Abstract This paper investigates the contribution of agricultural sector and petroleum sector to the economic growth and development (GDP) of the Nigerian economy
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Industry in Asia ©APO 2004‚ ISBN: 92-833-7026-0 Report of the APO Multi-Country Study Mission on Rural-Based Food Processing Industry (SME-OS1-00) Japan‚ 6–13 March 2001 Edited by Dr. Alastair Hicks‚ Bangkok‚ Thailand. Published by the Asian Productivity Organization 1-2-10 Hirakawacho‚ Chiyoda-ku‚ Tokyo 102-0093‚ Japan Tel: (81-3) 5226 3920 • Fax: (81-3) 5226 3950 E-mail: apo@apo-tokyo.org • URL: www.apo-tokyo.org Disclaimer and Permission to Use This document is a part of the above-titled
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| Developing the World’s Largest Commercial Jet | | 1. Airbus’ Interests & Objectives First of all‚ the large and cost-efficient A3XX would be popular with significant growth in the air transportation industry. Worldwide passenger traffic would almost triple in volume by 2019‚ with fuel price rising in the future. Creating large and cost-efficient aircrafts‚ rather than increasing frequencies and building new routes‚ would be the long-term solutions to the problem of growing demand
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1. Executive Summary This report defines‚ examines and promotes a non-profit capitalistic business model. The model endorses enterprises which compete in the free market‚ but eschews profits in favor of social benefits. This entails an increased workforce with benefits and wages on par with current standards. This increased employee pool works under a staggered shift structure so that each employee only works a 3-day (24 hour) workweek. Labor is scheduled in such a way that there is necessary labor
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1. Compute the price elasticity of demand between these two points. Let quantity demanded = Q‚ Q1= 400 meals/day‚ and Q2= 450 meals/day Let price = P‚ P1= $20‚ and P2= $18 The change in quantity demanded = Q2-Q1 = 450-400= 50 The change in price = P2-P1= $18-$20= -2 The average in demand = (Q2+Q1)/2= (450+400)/2= 850/2=425 The average in price = (P2+P1)/2 = (18+20)/2 =38/2= 19 The percentage change in quantity demand = change in quantity demanded/the average in quantity demand =50/425 = 0.1174 =
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Price Determination under Monopoly Monopoly is that market form in which a single producer controls the whole supply of a single commodity which has no close substitute. From this definition there are two points that must be noted: (i) Single Producer: There must be only one producer who may be anindividual‚ a partnership firm or a joint stock company.Thus single firmconstitutes the industry.The distinction between firm and industry disappearsunder conditions of monopoly. (ii) No Close Substitute: The
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PRICE DISCRIMINATION : A pricing strategy that charges customers different prices for the same product or service. In pure price discrimination‚ the seller will charge each customer the maximum price that he or she is willing to pay. In more common forms of price discrimination‚ the seller places customers in groups based on certain attributes and charges each group a different price. Price discrimination involves market segmentation. A firm price discriminates when it charges different prices
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production‚ packaging and delivery. 2.) To determine the productivity of the production process at Fritos-lay you must look at the amount of production. The production process at Fritos-lay is designed for large volumes and small variety‚ using expensive special-purpose equipment‚ and with swift movement of material through the facility. Fritos-Lay’s‚ typically have high capital cost‚ tight schedules‚ and rapid processing. The company rewards employees with medical‚ retirement‚ and education plans;
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