How do you use the high low calculations for break even to find break-even point in sales dollars for a company listed on the stock market?

This belongs over in accounting. Math is part of all accounting, but it's still accounting.

But here's a thread that contains both an algebraic and non-algebraic way to solve high-low problems. You need to get that solved before dealing with break even.
https://www.askmehelpdesk.com/accounting/high-low-method-223233.html

high-low calculations for break even point company sales = 11,267
net income = 476
variable cost = 9365

Is this correct?

calculate the high-low method to break even point

sales = $11,267,000
net income = $476,000
variable cost = 9,365,000

total fixed costs = sales - total variable costs - net income (3)

TFC = $11,267,000 - 9,365,000 $476,000
TFC = $1,426,000

sales = total variable costs + total fixed costs

sales = $9,365,000 + $11,267,000
sales = $10,791,000

break even is when the sales is zero-0

Please always start your own thread for your problems and not tag onto someone else's. Also please read the post of mine right above yours, like the part that says to put this in accounting, not math. While break even is an application in some algebra classes, an algebraic method is not always used to figure it out, and it's an accounting subject, as I already stated.

Furthermore, this isn't high low method at all. I gave a link to two different ways of figuring out break even using high low. If you had followed that link and read that, you would have discovered that's not what this is at all.

I will answer this, but next time please go to the appropriate subject area, start your own thread, and if you see where your topic has already been presented, at least read it first.



TFC = $11,267,000 - 9,365,000 $476,000
TFC = $1,426,000

This was fine down through here.


sales = total variable costs + total fixed costs

sales = $9,365,000 + $11,267,000
sales = $10,791,000

While it is true that sales = total variable + fixed for break even, it is not true when you've had a profit. The original information given included a profit. What is really true is:

sales = total variable + fixed + profit

The only way your equation works is when there is no profit because you can just drop that off. But you do have a profit. Fixed won't change because it's fixed. But variable changes with production. Since the 9,365,000 variable included a profit, that number doesn't work for getting break even. My equation is basically how you figured out the fixed costs. (Just working backwards.) So if you don't change anything else, it will stay exactly as it was, including the profit.

The only way to figure this out is using percentages. You need to learn this set-up:
Sales
-Variable
=Contribution Margin
-Fixed
=Profit

You need to know this anyway, and sometimes it's easier to work with this. Since break even is no profit, then at break even, contribution margin and fixed will be the same. Once you figure out fixed, then you'll know what contribution margin is at break even.
If you write two of this equation, put the given info in one of them, and put the break-even contribution margin in the other, you can then use percentages to figure out the break even sales. That is, CM and variable as a percent of sales will stay the same. There isn't any way to figure out break even units from this.


break even is when the sales is zero-0

When sales is zero? That's called not having any business at all. Look up break even in your book again.