Question

unit produced 10000, fixed cost ,40000 veriable cost 30 p.u selling price 50 p.u how to calculate break even point BEP​

Answer 1

Answer:

BEP is 2000; units

Step-by-step explanation:

let the break even sales be x units

Then , at break even

$50 \times x = 40000 + x \times 30 \\ 20x = 40000 \\ x = 2000$

Answer 2

Answer:

Fixed cost 40000 +

Variable cost (30 x 10000) = 300000

Total Cost = 340000

Revenue - 50 per unit.

for BEP 340000/50 = 6800 units need to be sold.