Calculate breakeven point in terms of total revenues

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Reference no: EM132993232

Examples on how to classify your costs using the following categories: Variable costs and Fixed Costs on a roofing business. As well for the business you are responsible for payroll. rent etc.

Problem 1:
Determine the amount you will charge for each "unit" of service. For this assignment, keep things simple and just provide one type of service. Show your calculations.

Problem 2:
Estimate the dollar amount of your variable costs and the dollar amount of your fixed costs for the first year of operations.

Problem 3:
Calculate the contribution margin ratio. Show your calculations.

Problem 4:
Calculate your breakeven point in terms of total revenues necessary to breakeven. Show your calculations.If your breakeven point is not viable, then make changes to your business plan so that your revenues and costs will result in a sufficiently breakeven point. Discuss the issues with breakeven.

Reference no: EM132993232

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