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This is to choose a company and its only product that will help to decide the BREAKEVEN ANALYSIS. Refer to the image for better understanding
This is to choose a company and its only product that will help to decide the BREAKEVEN ANALYSIS.
Sheet1 FINA6016 CONTRIBUTORS ACTIVITY 2 - Breakeven Analysis At the end of this bercise you will be able to determine how many units of ONE product a company needs to sell In order to breakeven over a time period of your selection Select the Company Product for the purposes of this evertise we will assume this is the ONE and ONLY product this company sels) What does the company sell this product 1977 (what do the company's customers pay to purchase this product) Kering What does it cost the company to make this product? (what does the company pay its suppliers to purchase the parts needed to make the product rence.com CONTRIBUTION MARGIN PER UNIT Source Variable Discovered above Selling price Per Unit $ $ Discovered above cost of goods sold Calculated contribution margin $ On an annual basis, you also need to cover the following costs you can select from your research, the actual amounts, if available). These are figures based on your best estimation of what you would have to pay for the following expenses Rent How many units do you need to sell, on an annual bass, to breakeven (show your calculations? Staffing (assume you hire 3 employees) Advertising Total IS Determine the profit you would like to make, on an annual basis Based on the desired pront, how many units do you need to sell, on an annual basis to breakeven show your calculations? Sheet1 FINA6016 CONTRIBUTORS ACTIVITY 2 - Breakeven Analysis At the end of this bercise you will be able to determine how many units of ONE product a company needs to sell In order to breakeven over a time period of your selection Select the Company Product for the purposes of this evertise we will assume this is the ONE and ONLY product this company sels) What does the company sell this product 1977 (what do the company's customers pay to purchase this product) Kering What does it cost the company to make this product? (what does the company pay its suppliers to purchase the parts needed to make the product rence.com CONTRIBUTION MARGIN PER UNIT Source Variable Discovered above Selling price Per Unit $ $ Discovered above cost of goods sold Calculated contribution margin $ On an annual basis, you also need to cover the following costs you can select from your research, the actual amounts, if available). These are figures based on your best estimation of what you would have to pay for the following expenses Rent How many units do you need to sell, on an annual bass, to breakeven (show your calculations? Staffing (assume you hire 3 employees) Advertising Total IS Determine the profit you would like to make, on an annual basis Based on the desired pront, how many units do you need to sell, on an annual basis to breakeven show your calculations Refer to the image for better understanding
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