Evaluate break even point, Civil Engineering

Assignment Help:

Evaluate break even point:

A vehicle manufacturing firm purchase axle from a shaft manufacturing industry at Rs.100 each. If it establishes the essential apparatus for the production of the axle in its plant a fixed cost of Rs.100, 000 per year and a variable cost of Rs. 40 is incurred. What volume is essential in order to recover the fixed cost?

The problem is simply a problem of finding the break even point of the process concerned. At the break even point margin between selling price and variable costs recovers the fixed cost incurred in the manufacture of the product.

Or,

B = 100, 000 / (100 - 40)

= 1667 units


Related Discussions:- Evaluate break even point

Simple stresses and strains, SIMPLE STRESSES AND STRAINS: The concepts...

SIMPLE STRESSES AND STRAINS: The concepts of strain, stress, elastic modulus & the basic concepts in application to analysis of deformation and stresses in simple solids. Any

Dense Bituminous Macadam, What is DBM?Why use DBM where other binder course...

What is DBM?Why use DBM where other binder courses are available?What is composition and advantages of using DBM?

Doors, About Doors,windows&vendilators

About Doors,windows&vendilators

Maintenance of water bound macadam roads, Maintenance of Water Bound Macada...

Maintenance of Water Bound Macadam Roads: The maintenance of water bound macadam surface consists of : filling potholes, ruts with additional material and adequately c

Minimum volume of sump volume for pumps, Minimum volume of sump volume for ...

Minimum volume of sump volume for pumps Maximum pumping rate = Q P Volume of sump = V Inflow Rate = Q i Cycle Time T c = t 1 + t 2 t 1 = V / Q P - Q i t 2

Components of a typical expansion joint, Question Explain components of a t...

Question Explain components of a typical expansion joint? Answer Dowel bar-This is major component of joint. It serves to guide direction of movement of concrete growth. Therefo

Brick pavement, Brick Pavement: In regions where stone aggregates are...

Brick Pavement: In regions where stone aggregates are not available within economical leads, bricks provide a cheaper alternative. Flat-brick or brick-on-edge pavements provi

Rivet, cold driven rivet

cold driven rivet

Road drainage, how surface water can be controlled in road pavement

how surface water can be controlled in road pavement

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd