CVP question

This topic has 1 reply, 2 voices, and was last updated 13 years ago by seagoat.

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November 19, 2012 at 9:52 pm #55507
mubeensgh
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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?
November 20, 2012 at 1:42 pm #107944
seagoat
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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.
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