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[20 points) Build a general model to find the break-even point if the investor wants a rate of return of at least Y% P=R-E .
[20 points) Build a general model to find the break-even point if the investor wants a rate of return of at least Y% P=R-E . P = X Sp - (F + V.) . P = X Sp-(F + X .Cp) Profit:P Profits-Revenues - Expenses Revenues: R Expenses: E Revenues = Units sold * Sales Price per unit Units sold: X Price per unit: Sp REX *Sp Expenses = Fixed cost + Variable Cost Variable Cost: VC Fixed Cost: FC E =Vc + FC Variable cost = Cost of production * Units sold Cost of production - Cp VCpx P = X Sp - F-X.C X.Sp - F-X. Cp = 0 X(S) - Cp) = F X= Sp-C [20 points) Build a general model to find the break-even point if the investor wants a rate of return of at least Y% P=R-E . P = X Sp - (F + V.) . P = X Sp-(F + X .Cp) Profit:P Profits-Revenues - Expenses Revenues: R Expenses: E Revenues = Units sold * Sales Price per unit Units sold: X Price per unit: Sp REX *Sp Expenses = Fixed cost + Variable Cost Variable Cost: VC Fixed Cost: FC E =Vc + FC Variable cost = Cost of production * Units sold Cost of production - Cp VCpx P = X Sp - F-X.C X.Sp - F-X. Cp = 0 X(S) - Cp) = F X= Sp-C
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