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

Maintenance of steel bearings, Q. Maintenance of steel bearings? Cleani...

Q. Maintenance of steel bearings? Cleaning and greasing of bearings is one of the important maintenance works to avoid premature failure of bearings and reduce recurring heavy

Steel work design, 1) A building constructed from steelwork requires the fo...

1) A building constructed from steelwork requires the following sections to be designed: a. A beam carrying a characteristic permanent load of 11kN/m and a characteristic variable

Determine load carried by each cylinder, Determine load carried by each cyl...

Determine load carried by each cylinder: A hollow steel cylinder of cross-sectional area 2000 mm 2 concentrically surrounds a solid aluminium cylinder of cross-sectional area

Why we use air valves, Q. Why we use Air Valves? Air Valves - Air valve...

Q. Why we use Air Valves? Air Valves - Air valves of proper size and pressure rating at summits. Air valves ensure the safety of the pipe line against collapse when at points o

Corrosion protection of lifting anchors in precast concrete, Q. Corrosion p...

Q. Corrosion protection of lifting anchors in precast concrete? Corrosion of lifting anchors in precast concrete units has to be prevented since the corroded lifting units caus

Analyse the state of stress, Analyse the state of stress: For the cros...

Analyse the state of stress: For the cross-section shown in above figure, let us take b = 100 mm, d = 300 mm and M = 9 × 10 7 N mm and Q = 18 × 10 4 N and analyse the state

Explain procedure of remote sensing in satellites, Q. Explain procedure of ...

Q. Explain procedure of remote sensing in Satellites? Satellites used for remote sensing are of two types, viz, geostationary and polar orbiting. Geostationary stationary satel

Haley''s formula in pile driving, Question What is major difference bet...

Question What is major difference between "hammer efficiency" and "coefficient of restitution" at what time using Haley's formula in pile driving?   Answer Hammer ef

Sieve analysis - soil mechanics and foundations, Sieve Analysis - Soil Mech...

Sieve Analysis - Soil Mechanics and Foundations a. Sieve Analysis used to obtain the grain size distribution of coarse-grained soils (sands and gravels) larger than 0.075 mm (r

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