Purchase Solution

CVP graph; breakeven point

Not what you're looking for?

Ask Custom Question

In response to a request from your immediate supervisor, you have prepared a CVP graph portraying the cost and revenue characteristics of your company's product and operations. Explain how the lines on the graph and the break-even point would change if (a) the selling price per unit decreased, (b) fixed cost increased throughout the entire range of activity portrayed on the graph, and (c) variable cost per unit increased.

Purchase this Solution
Solution Summary

See the graphs and examples given in excel. Formulas are in cells.

Solution Preview

In response to a request from your immediate supervisor, you have prepared a CVP graph portraying the cost and revenue characteristics of your ...

Solution provided by:
Carol Sargent, PhD
Education
  • BSc, University of Virginia
  • MSc, University of Virginia
  • PhD, Georgia State University
Recent Feedback
  • "hey just wanted to know if you used 0% for the risk free rate and if you didn't if you could adjust it please and thank you "
  • "Thank, this is more clear to me now."
  • "Awesome job! "
  • "ty"
  • "Great Analysis, thank you so much"
Purchase this Solution
Free BrainMass Quizzes
Marketing Research and Forecasting

The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.

Situational Leadership

This quiz will help you better understand Situational Leadership and its theories.

Marketing Management Philosophies Quiz

A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.

Business Ethics Awareness Strategy

This quiz is designed to assess your current ability for determining the characteristics of ethical behavior. It is essential that leaders, managers, and employees are able to distinguish between positive and negative ethical behavior. The quicker you assess a person's ethical tendency, the awareness empowers you to develop a strategy on how to interact with them.

Introduction to Finance

This quiz test introductory finance topics.

View More Free Quizzes
Related BrainMass Solutions

  • Computing breakeven sales and sales needed

    The graph should range form 0 to 80 units. 4.) Suppose that the average revenue Big Time earns increases to $900 per trade. Compute the new breakeven point in trades. How does this affect the breakeven point?

  • CVP Analysis - Graph and Mixed Costs

    Breakeven point= fixed cost/contribution per unit .i.e., the point where the contribution is equivalent to fixed costs. While drafting graph of CVP analysis, sales volume has to be mentioned on x axis and amount has to mentioned on y axis.

  • CVP Charting

    Show the breakeven point on the graph Please refer above graph CVP analysis is an important tool in financial decision making.

  • Embleton, Samano, Pacer: CVP graph, break-even, direct labor

    201210 Embleton, Samano, Pacer: CVP graph, break-even, direct labor and materials budgets Please see attached problems. #10 Prepare a CVP graph and compute break-even point and margin of safety.

  • Breakeven Analysis and operating profits

    Prepare a CVP graph showing cost and revenue data for Store 36 from zero shirts up to 30,000 shirts sold each year.  Clearly indicate the break-even point on the graph.

  • CVP Analysis

    Calculate the annual breakeven point in dollar and in unit sales for shop 48? 2.

  • CVP Analysis

    This is in the attached file The solution explains the determination of the breakeven level and how prepare a profit volume graph

  • Breakeven point and net income

    Hint: Determine variable and fixed costs, compute break-even point, prepare a CVP graph, and determine net income. Instructions (a) Determine the variable cost per haircut and the total monthly fixed costs.

  • Breakeven point in dollars and units

    Prepare a CVP statement reflecting these changes. Please see the attachment The solution explains how to calculate the breakeven point in dollars and units and prepare a CVP statement

  • Managerial Accounting

    Assuming the stools are the only product the company sells this year, draw a CVP graph to represent the company's sales and expenses. From this graph, compute the approximate breakeven point in dollars and units.

View More Related Solutions