Reference no: EM13794352
Please construct a cost volume profit (break-even) chart based on the following information:
Unit selling price = $60.00
Unit variable cost =$30.00
Total fixed cost = $120,000.00
The relevant range for the X axis is 0 – 10,000 units.
The relevant range for the Y axis is 0 - $450,000 in $50,000 increments.
1. Please identify the vertical axis as sales and costs, and the horizontal axis as units of sales.
2. Identify lines inserted on the graph, BEP, profit and loss areas.
3. Give the calculation for Units at the Break-Even Point, (UBEP) and Sales Dollars at the Break-Even Point ($BEP)
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