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1 Information about a construction company is given below: Variable Expenses for the excavation process Electricity Expenses: 100TL/m3 Diesel and Oil Expenses: 500TL/m3 Tire and
1 Information about a construction company is given below: Variable Expenses for the excavation process Electricity Expenses: 100TL/m3 Diesel and Oil Expenses: 500TL/m3 Tire and Spare Parts Expenses: 400TL/m3 Explosive Expenses: 300TL/m3 Other Variable Expenses: 200TL/m3 Fixed costs Depreciation, insurance, and interest expenses: 1.5 billion TL/year Compulsory labor and personnel expenses: 0.5 billion TL/year Other Fixed Expenses: 0.5 billion TL/year Revenue: 5000TL/m3 and Excavation Capacity is 2000000m3/ year a) Find the breakeven point as the production amount? b) Find the amount of excavation the company needs to make to make a 3 billion TL/year profit
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