Uses for break-even analysis
Explain what are the several uses for break-even analysis?
Expert
These type of analysis allows the firm to define at what level of operations it will break even (earn zero profit) and to discover the relationship between costs, profits and volume. It provide helps to the management at current costs of products so many numbers of units must be sold to get the cost of producing the product.
For Example: On producing a product if you spend $200 and its selling price is $20 then to recover the cost of product you must sale 10 units.
It helps the management to determine how much of units to be sold to get desired profit on product such as: if in the above example you want to earn $20 profit then add it to it's cost of $200 and it will become $220 now you need to earn profit of this $20 you need to sale 11 items of product.
Relative to firms into other market structures, there a profit-maximizing firm in an oligopoly: (1) is more efficient than firms in a perfectly competitive structure. (2) produces a larger level of output than firms within any other m
The form of discrimination which probably causes the smallest problems for income distribution is: (1) occupational discrimination. (2) human capital discrimination. (3) price discrimination. (4) personal discrimination. (5) employment discrimination.
I have a problem in economics on Economic profits for most firms. Please help me in the following question. Economic profits for most of the firms will generally be: (1) The similar as their accounting profits. (2) Bigger than their accounting gains. (3) Less than the
A monopolist which does not price discriminate cannot concurrently maximize profit and: (w) charge a price equal to marginal cost. (x) minimize average cost. (y) charge a price equal to minimum average cost. (z) produce only zero econ
I have a problem in economics on History of Industrial Unions. Please help me in the following question. Industrial unions historically tried to systematize all the workers in: (i) A Specific Company or broad industry. (ii) The United States. (iii) A specific craft or
Assume that the male nurses are salaried more than female nurses for the similar work. When an ‘equal pay for equal work’ law is passed and enforced, this might: (i) Decrease the wages of male nurses. (ii) Not influence the wages of the female nurses. (iii
Critics of negative income tax (NIT) proposals most generally argue that: (a) economic rents should be taxed at a rate of 100%. (b) in-kind services should be above and beyond generous income assistance. (c) no NIT plan would be flexible enough to sol
When this purely competitive industry is described by moderately increasing costs, in that case line C would represent: (w) the demand curve facing the entire industry as a whole. (x) market-period supply. (y) long-run market supply. (z) short-run sup
When a 10% hike in the price of paisley socks causes sales to fall with 20%, the demand for such socks is: (1) perfectly inelastic. (2) relatively inelastic. (3) unitarily elastic. (4) relatively elastic. (5) perfectly elastic. <
Can someone help me in determining the right answer from the given options. Ozzy Osbourne consists of a weird obsession with the manner live birds taste. Though, the more birds he bites, the harder Ozzy determines it to gain more satisfaction. Ozzy’s reaction ap
18,76,764
1936589 Asked
3,689
Active Tutors
1427758
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!