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

Music2GOMulti-player, music2GOmulti-player marketing strategy review

music2GOmulti-player marketing strategy review

scheduling and budgeting, Tool Belt Store (TBS) is expanding its chain of ...

Tool Belt Store (TBS) is expanding its chain of hardware stores across the country. TBS has more than 5,000 full-time employees and more than 20,000 part-time employees. TBS recent

Pigeonhole principle, A binary relation R from A to B is said to be a funct...

A binary relation R from A to B is said to be a function if for every element a in A, there is a unique element b in B so that (a, b) is in R. For a function R from A to B, instead

#title.marketing mix., Solving Customer Problems in Ways They Never Imagine...

Solving Customer Problems in Ways They Never Imagined

Explain benefits of undertaking market segmentation, Question: a) The ...

Question: a) The consumer electronics firm for which you work is about to launch a new model of mobile telephone (cell phone and hand phone). This will be a very basic model o

Buying situation, #questexplain buying situation change in the purchase of ...

#questexplain buying situation change in the purchase of following products and services ?a computer system ion..

Generic product, Generic Product A generic product is an unbranded, ine...

Generic Product A generic product is an unbranded, inexpensive, plainly packaged version of a common consumer product. It is usually standard for slightly substandard quality c

Who is part of this buying decision, Who is part of buying decision? W...

Who is part of buying decision? When purchasing a decision of buying goods is created by just one person in place of most organization who works within it but they can contrib

Marketing audit and objectives, What is Marketing Audit, Marketing Audit is...

What is Marketing Audit, Marketing Audit is periodical assessment of marketing performance of a product. It is done with specific objectives in order to create awareness and improv

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