GEOGRAPHICS| URBAN| URBAN| URBAN| URBAN| PSYCOGRAPHICS| More concerned with low cholesterol food| More concerned with low fat food| More concerned with physical fitness food products| Generally eats taste oriented food….
Why is it important to understand the importance of break-even analysis in a business?
Given the following information: determine;
|Selling & Administrative||$130,000|
|Cost of goods Sold||$4|
|Selling and Administrative||$3|
- What is the company’s contribution margin?
- What is the break-even points in units?
- If the company wants to earn a profit of $42,000 instead of breaking even, what is the number of units the company must sell?
- Why is it important to understand the importance of break-even analysis in a business?