Marketing hw, Marketing Management

Assignment Help:
MARKETING PRINCIPLES
MKTG 305


Break-even Assignment


Often a firm will calculate the break-even point for a price. That is, if we set the price at $X, then how many units will we need to sell to cover costs (that is, our break-even point). Work through the following data and questions to gain a better understanding of this approach.
QUESTIONS
1. Start by completing the above table under the assumption that the product will be sold for $30. (It will be easiest to use Excel to complete the table.) How many units need to be sold to break-even at a product price of $30?
2. Now recalculate the table under the assumption that the product will be sold for $15. How many units need to be sold to break-even at a product price of $15?
3. What do you think you would set first: the sales target or the price? Why?

No. of Units Allocated Fixed Costs Variable Cost/Unit Total Production
Cost Average Unit Cost Unit Price Total Sales Revenue Gross Profit
500 $10,000 $10 $30
1,000 $10,000 $10
1,500 $10,000 $10
2,000 $10,000 $10
2,500 $10,000 $10


Related Discussions:- Marketing hw

Motion problem, Kali left school and traveled toward her friend''s house at...

Kali left school and traveled toward her friend''s house at an average speed of 40 km/h. Matt left one hour later and traveled in the opposite direction with an average speed of 50

Setting the advertising objectives, Setting the advertising objectives: ...

Setting the advertising objectives: The advertising objectives must flow from prior decisions on the target market, market positioning, and the marketing mix. Advertising obj

Assignment help, Give a success story of marketing a goods in which a suppl...

Give a success story of marketing a goods in which a supplier has been dependable.

Desk based research, Jamieson (1997) suggests that Australia's ability to i...

Jamieson (1997) suggests that Australia's ability to identify and capture the considerable opportunities which will continue to emerge in the Asian region will play a significant r

Process design can best be improved, Process design can best be improved by...

Process design can best be improved by Adopting a strategy of continuous improvement.

What is buyer analysis in personal selling process, What is buyer analysis ...

What is buyer analysis in personal selling process? Buyer analysis: Before approaching any customer, sales force must understand what products prospects bought within the

Channel planning, process involved in designing channels

process involved in designing channels

Analyze the marketing environment, Why analyze the marketing environment? ...

Why analyze the marketing environment? 1.      Knowledge of the marketing environment is central of marketing management: marketing management rests squarely on the knowledge

What is advertising in functions of marketing, What is advertising in funct...

What is advertising in functions facilitating exchange? Advertising: Advertising has become a significant function of marketing into the competitive world. This helps to s

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