Breakeven Analysis for EBS, a baseball bat manufacturer
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Please provide a detailed breakeven analysis given the following data.
1. EBS is a baseball bat manufacturer. They sell baseball bats to a variety of stores.
2. The "Unit" description for this project is, one Easton BCN9 Stealth IMX Adult Baseball Bat. The manufacturer's retail price for this unit is $400. The price reflects a 40% mark up from what it costs a vendor to buy this unit from EBS. (This is the price the customer sees in the store).
3. It costs EBS 48.00 to make this bat which is equal to 20% of cost
4. EBS sells this unit to vendors for 240.00
5. EBS revenues from sales of this bat to vendors from Jan 2009 to Dec 2009 was : 15,000 units sold *240.00 = 3,600,000.
6. Variable Costs: 720,000 or 48.00 per unit
7. Fixed Costs: 500,000 or 33.33 per unit
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Solution Summary
The expert examines the breakeven analysis for EBS for a baseball bat manufacturer.
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Break-even analysis for EBS
Sale price per unit $240
Variable cost per unit $48
Contribution per unit $192
Fixed costs ...
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