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Q.No.8. (Marks 10) Mr. Ali started a business with RS. 15,000 in the newly developed market, from day first he is doing hard work to

Q.No.8. (Marks 10)

Mr. Ali started a business with RS. 15,000 in the newly developed market, from day first he is doing hard work to earn profit as soon as possible after four months,

Sales Units are 10,000

Sales Value are 1,00,000

Variable Cost is 50,000

Requirements:

As a Market Analyst calculate currently is Mr. Ali earning profit or not, using the Break-Even Point concept with proper diagram, and also justify your answer with logical arguments.

Answer:

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