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Posted by: johnsonj
Price Quoted by Student: $2.5
Posted On: 2011-07-25 10:10:18
 
Question

Calculate the accounting break-even point for the following firm: revenues of $ 700,000, $ 100,000 fixed costs, $ 75,000 depreciation, 60% variable costs, and a 35 % tax rate. What happens to the break even if a trade -off is made which increases fixed costs by 30,000 and decreases variable costs to 50% of sales?


Solutions
SOLUTION   Break-even point = fixe
Price $2.5
Attachment 1: Calculate the accounting break.doc
Solution Posted By: Johnsonj    Posted on: 25-07-2011