Solved: What is the company breakeven point, Finance Basics

+44 141 628 6080
[email protected]

What is the company breakeven point

Question:

A company estimates that its fixed costs are $500,000, and its variable costs are $3.00 per unit sold. Each unit produced sells for $4.00. What is the company's breakeven point? In other words, how many units must it sell before its operating income becomes positive?

Solution Preview :

Prepared by a verified Expert

Finance Basics: What is the company breakeven point

Reference No:- TGS02080047

Now Priced at $20 (50% Discount)

Recommended (95%)

Rated (4.7/5)

Have a Question? (oR Write a Review)

Write atleast 100 words!!

Recent Questions Asked Finance Basics

Q : How much external financing will tobin supplies

How much external financing will Tobin Supplies Company have to seek? Assume there is no increase in liabilities other than that which will occur

Q : How external financing tobin supplies company have to seek

How much external financing will Tobin Supplies Company have to seek? Assume no increase in liabilities other than that which will occur with external financing

Q : Scenario analysis of a company-agrico products

Your firm, Agrico Products, is considering the purchase of a tractor that will have a net cost of $36,000, will increase pre-tax operating cash flows

Q : How the company could split profits and losses

Describe what happens if the partnership doesn't do well and the company has to dissolve it, or one of the partners becomes insolvent.

Q : What is the company breakeven point

What is the company's breakeven point? In other words, how many units must it sell before its operating income becomes positive?

Q : How much will you dream house cost by the time you are ready

You expect housing prices to rise by an average of 7.5% per year over the next 3 years. How much will you dream house cost by the time you are ready to buy?

Q : Discuss the inventory and cost of goods valuation methods

Discuss the Inventory and Cost of Goods Valuation Methods including: comparing and contrasting Periodic and Perpetual Systems and the type of companies.

Q : Deposit a lump sum-making the deposit today

How much additional money must Marie deposit if she waits for one year rather than making the deposit today?

Q : What elements of industry support would be needed

What elements of industry support would be needed to make this song popular at the level of Katy Perry or Taylor Swift songs in the US?

1945296

Questions
Asked

3,689

Active Tutors

1425094

Questions
Answered

Start Excelling in your courses, Ask a tutor for help and get answers for your problems !!

ask Question

Asked Questions

Which are forms of media bias

Question: Which of the following are forms of media bias? (Select all that apply)

Which of the things happened first

Which of the following things happened first? Group of answer choices Women gained the right to vote Seneca Falls Convention Margaret

How are schools important in the struggle for power

Question: How are schools important in the struggle for power and status?

How is it rational for the owner of a factory or plantation

How is it rational for the owner of a factory or plantation to work his laborers to death or disability when they can easily be replaced cheaply?

Discussion about idea of the tramp stamp

Jane is doing a study about tattoos. She is interested in studying the idea of the "tramp stamp" (a tattoo in the small of a woman's back).

Why does victor coin the term hyper-violence

Why does victor coin the term hyper-violence instead of just using violence? And second, how is hyper-violence display in the Oakland community?

Review the real-life cat and mouse chase

Real-Life Cat and Mouse Chase: Understanding the Perceptions and Attitudes of Street Vendors of Metro Manila towards MMDA Regulation No. 03-004