PDA

View Full Version : Break-even point analysis help!


philgodd
Nov 22, 2010, 05:48 PM
help! I'm trying to figure out how much each dollar in expected sales contributes towards covering fixed costs?

Expected sales revenue: $127,750

Variable costs: $ 40,000

Fixed costs: $ 50,000

rehmanvohra
Nov 22, 2010, 11:52 PM
Contribution is sales less variable costs. Divide contribution with expected sales and there is your answer