Question

Givenp/v=24% fixed cost=120000.break even sales will be p/v24%.Fixed cost 120000.if BEP sale?

Answer 1

5,00,000 is the answer of this question.I hope you useful this one to you..

Answer 2

Answer:

The break-even point will be 500000

Explanation:

Given:

PV Ratio = 24%

Fixed Cost = 120000

To Find:

Break Even Point

Solution:

We know that,

Break-even point = $\frac{fixed cost }{P.V ratio}$

Break-even point = $\frac{120000*100}{24}$

Break-even point = $500000$

So, the break-even point will be 500000

Definition:

Break Even Point:

• The Point of Break-Even
• The break-even point (BEP) is the point at which total costs and total revenues are equal, or "even," in economics, business, and particularly cost accounting.
• Although opportunity costs have been paid and capital has received the risk-adjusted, projected return, there is no net loss or gain, and one has "broken even."
• In other words, no profit or loss is made once all necessary expenses have been covered.

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