How low must its variable cost be to break even

Assignment Help Operation Management

Reference no: EM131280656

If a firm has a fixed costs of $100,000, a market-based selling price of $30 per unit, and it expects to sell 20,000 units.

(A) How low must its variable cost be to break even?

(B) Assume the variable cost is $15, what is the selling price to break even?

Reference no: EM131280656

Questions Cloud

Perfect means to analyze the value of a project : The business case analysis (BCA) is the perfect means to analyze the value of a project and is also a great tool to put against any change request to help all stakeholders see the facts surrounding a request.? We use these to lay out the current envi..

Make informed decision regarding the specific pmlc model : How does or can a sponsor make an informed decision regarding the specific PMLC model they will be interested in when it comes to the execution of projects?

Discuss the video titled the gestalt project stop the stigma : Watch the video titled "The Gestalt Project: Stop the Stigma" (4 min 09 s). Be prepared to discuss. Video Source: Kian Madjedi. (2012, April 10). The Gestalt Project: Stop the Stigma [Video file].

How you would orient your windmill in the wind : Discuss, with the help of velocity triangles, how you would arrange each blade on the hub and how you would orient your windmill in the wind.

How low must its variable cost be to break even : If a firm has a fixed costs of $100,000, a market-based selling price of $30 per unit, and it expects to sell 20,000 units. How low must its variable cost be to break even? Assume the variable cost is $15, what is the selling price to break even?

Different types of total quality management tools : Tools are selected based on the business requirements and the functions of the tool. In this discussion, you will explore the uses of some common total quality management tools.

Resembles the negative exponential distribution : ?Virginia's Ron McPherson Electronics Corporation retains a service crew to repair machine breakdowns that occur on an average of lambda ?= 4 per? 8-hour workday? (approximately Poisson in? nature). The crew can service an average of mu ?= 10 machine..

Explain children development to utilize developmental theory : Why is it important to utilize developmental theory to explain children's development?What makes scholarly research different from anecdotal evidence (personal experience) in explaining child and adolescent development?

The fixed costs associated with oven : Janelle? Heinke, the owner of? Ha'Peppas!, is considering a new oven in which to bake the? firm's signature? dish, vegetarian pizza. Oven type A can handle 22 pizzas an hour. The fixed costs associated with oven A are $ 25,000 and the variable costs ..

User Account

All Pages