@lyricallyblind It's simple really. They invested $70,000 in this project. The cost of making the product is $30. They are selling it at $35. For every item they sell, they cover $5 of the expenses. Then they divide. $70,000 divided by $5 is equal to 14,000 units. Do you understand it now?
I have seen better examples p gets confusing due to there are 2p's used:selling price & cost price. I would of done sp (selling price) & cp (cost price). What the heck is Q?
uploaded on my birthday
flightsnhike226 1 month ago
70000/contribution which is 5 gives 14000 so it's a lot shorter actually
elen2131 1 year ago
@MONOPOLY35 I've found the answer even before the answer was given so I may know a thing or 2 about break-even LOL!
TheYugioh93 1 year ago
thank you very much , u made it very clear. love and blessings ...
punjabiparry 1 year ago
@lyricallyblind It's simple really. They invested $70,000 in this project. The cost of making the product is $30. They are selling it at $35. For every item they sell, they cover $5 of the expenses. Then they divide. $70,000 divided by $5 is equal to 14,000 units. Do you understand it now?
MONOPOLY35 1 year ago
Thank you!
Sagino84 1 year ago
thankyouthankyouthankyou!!! i have an exam in 2 days and i understand sooo soo much better now! :)
humpsareforcamels 2 years ago
it is so much easier than this. why do u mäke the explanation so difficult? sorry but I know better examples.
Linditko 2 years ago
I have seen better examples p gets confusing due to there are 2p's used:selling price & cost price. I would of done sp (selling price) & cp (cost price). What the heck is Q?
I don't think he knows what he is doing.
Better formula BE = FC/ (SP-VC)
sauty1 2 years ago
how did you get Q for 14000 on sample number 1 that part got me confused
lyricallyblind 3 years ago