A firm sells 25000 units at a selling price of
Rs 5 per unit. Its fixed cost is Rs 40000 and
variable expenses Rs 50000. Now the fixed
cost is decreased by 25%. Find out the new
break even point(Rs) of the firm?
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bep in rs = 30000 ×5/ 2 = 150000/2 = Rs 75000
Explanation:
fixed cost = 25/100*40000=10000
new fc = 40000-10000 = 30000
variable cost = 50000/25000 = 2
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