Ask Experts Questions for FREE Help!
 

Free Answers in 3 Easy Steps

Register Now
3 Steps
 


Ask QuestionsprogressAnswer QuestionsprogressBuild ReputationprogressBecome an Expert
 
At Ask Me Help Desk you can ask questions in any topic and have them answered for free by our experts. To ask questions or participate in answering them you must register for a free account. By registering you will be able to:
  • Get free answers from experts in any of our 300+ topics.
  • Accept money for answers that you provide.
  • Communicate privately with other members (PM).
  • See fewer ads.
  Answer this Question    Ask about Finance & Accounting    Ask about another Subject  
 

ljonas
Jun 30, 2009, 06:48 AM
Given: Total Revenue of 1000
Other Revenue of 200

Total Operating costs of 600
Gross Operating Profit of 300
Net Profit of 100

How do I caltulate the BEPoint % Sales

Thank You

rehmanvohra
Jul 7, 2009, 05:04 AM
To calculate break even point, we need fixed costs. Your question does not give indication of such fixed costs. The formula is:
Break even point = Fixed costs/Sales - variable costs
The answer will be in percentage which will be applied to the total revenue to get the BEP

What is the other revenue? The net profit figure of $100 is without considering the other revenue.

Assume that the operating costs consist of $400 as fixed costs, BEP will be calculated as follows:
Fixed costs ----- 400------
Sales - variable costs 1000 - 200
BEP %= .50 or 50%
BEP value 1,000 x 50% or $500