expert
Expert with best answer

Paul

100% Recommendation Rate

13 Meetings

30 Q&A Upvotes

USD 149 / Coaching

2

Breakeven

Hello,

Can you please clarify how you came up with the breakeven number?

Thanks

Hello,

Can you please clarify how you came up with the breakeven number?

Thanks

2 answers

  • Upvotes
  • Date ascending
  • Date descending
Best Answer
Book a coaching with Paul

100% Recommendation Rate

13 Meetings

30 Q&A Upvotes

USD 149 / Coaching

Hi,

breakeven (sales) = Sales it takes to make Profit = 0 (all cost included)

therefore

(Unit Price - Unit Variable cost) X (Breakeven Quantity) = Other (fixed) costs

Therefore

Breakeven quantity = Other fixed costs / (Unit price - unit variable cost)

hope it helps.

Paul

Hi,

breakeven (sales) = Sales it takes to make Profit = 0 (all cost included)

therefore

(Unit Price - Unit Variable cost) X (Breakeven Quantity) = Other (fixed) costs

Therefore

Breakeven quantity = Other fixed costs / (Unit price - unit variable cost)

hope it helps.

Paul

Tom Ford is well-known for male fashion; therefore, the number should be low.

Tom Ford is well-known for male fashion; therefore, the number should be low.