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Bad White [126]
2 years ago
9

A product sells for $275 per unit, and its variable costs are 68% of sales. The fixed costs are $345,600. What is the break-even

point in sales dollars
Business
2 answers:
OleMash [197]2 years ago
7 0

Ratio of contribution margin = ($275 - $187)/$275 = 32%

Break-even point in sales dollars = $345,600/0.32 = $1,080,000.

<h2>What is Break-even point?</h2>

The amount (total sales revenue) or output level (total units produced) at which a business has recouped all variable and fixed costs is known as the break-even point.

  • As a result of Total Cost Equals Total Revenue, there is no profit or loss at break-even.
<h3>How do you determine the break-even point in sales volume?</h3>

Three values must be known in order to calculate a company's breakeven threshold in sales volume:

  • a fixed price: Rent is one example of a cost that is not related to sales volume.
  • varying expenses costs, such as the price of producing the good, that are based on sales volume
  • Price at which the product is sold.

learn more about breakeven point at: <u><em>https://brainly.in/question/31484328?msp_srt_exp=6&referrer=searchResults</em></u>

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djyliett [7]2 years ago
7 0

Contribution margin ratio = ($275 - $187)/$275 = 32%

Break-even point in sales dollars = $345,600/0.32 = $1,080,000

<h2>What is break-even point in sales dollar?</h2>

You may determine a company's break-even point in sales dollars by dividing its total fixed costs by its contribution margin ratio.

<h2>What is Contribution margin ratio?</h2>

Total net sales minus overall variable expenses equals a company's total contribution margin in dollars. The contribution margin ratio is calculated by dividing the contribution margin in dollars by the total net sales.

<h3>What are the ways to reduce break even points?</h3>
  • lowering the level of fixed costs and expenses.
  • lowering the variable costs/expenses per unit.
  • raising the selling prices without affecting the amount of sales.
  • Product redesigning to include new features that will enable price rises or a decrease in variable costs/expenses.

learn more about break-even point at brainly.com/question/15356272?referrer=searchResults

#SPJ4

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Which country is a good example of a high present rate of investment and a low present rate of consumer goods consumption?
anzhelika [568]

Answer:

<u>India.</u>

Explanation:

India is a country with an emerging economy that attracts a lot of investment due to its significant annual economic growth, government incentives, low taxes and little red tape.

The country stands out as the most populous democracy in the world, and despite having a global mentality for business and high investment rates, the second largest population in the world presents serious social problems, such as the caste system, which prevents Indians from having a better quality of life. There is also corruption, social inequality, religious and border disputes. All of these factors contribute to the fact that despite high investments and growth, India is a country marked by social inequality and extreme poverty for a large part of the population, which configures little access to consumer goods for most Indians.

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The web organizes information by using _____, meaning documents that include embedded references to audio, text, images, video,
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Explain consumptions of the principal of absolute advantage​
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(05.01 MC) This quotation best supports which of the economic theories of John Maynard Keynes? A. Businesses and jobs rely most
tankabanditka [31]

Answer:

These two statements are correct:

A. Businesses and jobs rely most strongly on consumer demand.

B.Government regulation is necessary to stabilize the economy.

Explanation:

The first statement is correct because John Maynard Keynes that demand was the most important side of the economy, not supply. This is why his policies are sometimes referred to as "demand-side economics", while the policies of many of his detractors, such as Milton Friedman, are referred to as "supply-side economics".

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3 years ago
Read 2 more answers
After purchasing a coffee cup from your local gas station for $5.00, you can always refill your cup for $0.50. The sunk cost of
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Answer:

$4.50

Explanation:

The sunk cost is the cost that has been incurred and is unrecoverable in the process of taking a financing decision.

If the cost of a coffee cup from a local gas station cost $5.00 and the cost of refill is $0.50, the coffee is the actual element needed and from the refill, it can be estimated that it costs $0.50.

Hence the sunk or unrecoverable cost is the difference between the coffee cup and the refill cost

= $5.00 - $0.50

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