1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Amiraneli [1.4K]
3 years ago
12

Pulaski Plumbing Supply is planning to bring a new type of valve to market and is conducting a break-even analysis. For this ana

lysis they are assuming a selling price of $2.50 per valve. The total fixed cost associated with producing the valve is $10,000. The variable cost to produce each valve is $2.10. In this analysis, what is the break-even point (BEP) for the valve?
Business
1 answer:
vekshin13 years ago
4 0

Answer:

break-even point (BEP) = 25,000 items

Explanation:

given data

Selling price  = $2.50

Fixed costs = $10,000

Variable cost = $2.10

solution

we know that Revenue is sum of  Fixed costs and  variable costs

so we use here contribution margin method that is

Contribution margin = $ 2.50 - $ 2.10

Contribution margin  = $ 0.4

so

break-even point (BEP) for the valve is here

break-even point (BEP) = fixed cost ÷ Contribution margin    ...................1

put here value

break-even point (BEP) = \frac{10000}{0.4}  

break-even point (BEP) = 25,000 items

You might be interested in
The sum of the fixed and variable production costs is a company’s
elena-s [515]
<h2>Hello!</h2>

The answer is: d. total costs

<h2>Why?</h2>

The total costs are the sum of all the costs needed to produce a good or a service. It includes both fixed and variable production costs to show us the measure of a total cost.

We can calculate the total costs using the following formula:

TotalCosts(TC)=FixedCosts(FC)+VariableCosts(VC)

Fixed costs are all the constant costs. Fixed costs can be the salary of its workers (since they are based in hours worked), structure and good/actives insurance, taxes among others.

Variable costs are all the costs that can change thru the time, depending on the production volume. For example, if the production increases, the variable costs will increase too, also, if the production decreases, the variable costs will decrease too.

Have a nice day!

6 0
3 years ago
How would you convince your investor audience about the merits of your investment idea? ( give some decisions)
rusak2 [61]
Angel Investors
You have a unique idea for a business it will be successful. You find an individual willing to invest $1..
6 0
3 years ago
A minor explosion occurs at the chemical processing plant of Clement Inc. In order to study the situation and make recommendatio
Dominik [7]

Answer:

A. Safety engineers

Explanation:

Safety engineers are engineers who combine both health and safety in measures while developing procedures and systems with the aim of safeguarding and protecting people from getting injury and illness in the work place or environment. Their job description involves analyzing reasons for accidents, identifying potential hazards, suggesting procedures that can be taken by personnel in that workplace to protect themselves from harm and also preventing the occurence of accidents by bringing in accident proof systems of operations.

4 0
3 years ago
What is the primary criterion of managerial accounting reports
agasfer [191]
What is the primary criterion for the preparation of managerial accounting reports?

Answered by The WikiAnswers® Community
Making the world better, one answer at a time.
meet managers need
4 people found this useful

Was this answer useful?
YES SOMEWHAT NO

Sponsored Content
Stephen Hawking's Prediction Shocked Everybody
Stephen Hawking's Prediction Shocked Everybody
ca.popnewsdeluxe.com
10 Things Science Can’t Explain
10 Things Science Can’t Explain
DailyForest
5 Books That Will Change Your Life
5 Books That Will Change Your Life
Blinkist Magazine
21 Places On Earth You're NOT Allowed To Visit...Ever
21 Places On Earth You're NOT Allowed To Visit...Ever
Viral Vinny
Recommended by

Answered by The WikiAnswers® Community
Making the world better, one answer at a time.
What is Managerial accounting?
Answered in BUSINESS & FINANCE
What is Managerial accounting?
Managerial accounting is different to financial accounting because it is the one called cost accounting. It is the process in which it is needed to identify, measure, anal… (MORE)
1 person found this useful

Answered by The WikiAnswers® Community
Making the world better, one answer at a time.
Should accountants only focus on financial statements and not on production of managerial reports?
Answered in BUSINESS ACCOUNTING AND BOOKKEEPING
Should accountants only focus on financial statements and not on production of managerial reports?
4 0
3 years ago
A group of brands that results from an information search that a buyer can choose among is referred to as the buyer’s __________
Gennadij [26K]

Answer:

The correct answer is "evoked set"

Explanation:

An evoked set is a term that refers to the capacity of a customer to choose a specific brand because the customer reminds a product of a previous marketing campaign that takes effect on him.  

The essence of marketing campaigns is to establish their business brand firmly on the market.  

Example: When a person purchases a specif brand because it appeared on the tv, radio, newspaper... Sometimes the customer doesn't know why he chose this brand, just know that he likes it.  (Probably for a marketing campaign)

3 0
3 years ago
Other questions:
  • At the point at which P=MC, suppose that a perfectly competitive firm's MC = $100, its AVC = $80 and its AC = $110. This firm sh
    14·1 answer
  • A production department's output for the most recent month consisted of 12,500 units completed and transferred to the next stage
    14·1 answer
  • The purpose of a screening interview is to make the final decision about which applicants to hire.
    8·1 answer
  • What is the most effective way to get a yes or no response in an interview?
    8·1 answer
  • in the camria company, materials are entered at the beginning of the process. if there is no beginning work in process, but ther
    5·1 answer
  • Which of the following shows the listed items in their proper order of presentation in a balance sheet?
    9·2 answers
  • Use the contribution margin ratio to project operating income​ (or loss) if revenues are $ 520.000 and if they are $ 1.040.000.
    7·1 answer
  • Classify the following as fixed or variable costs:
    5·1 answer
  • MC Qu. 94 A company uses a process... A company uses a process costing system. Its Assembly Department's beginning inventory con
    6·1 answer
  • In relation to the time value of money, what is interest?
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!