CVP question — OpenTuition Forums

Mmubeensgh13y ago

the following is info is provided:

period 1. 2
sales $200000 $240000
profit. $10000. $18000

how do you calculate total fixed cost and breakeven point from this?

Sseagoat13y ago#1

From data provided the only thing that comes to my mind is graphical approach by drawing a good Profit / Volume (Sales) chart.

So you will be able to see the BEP and fixed costs.