Break Fifty-Fifty Indicate Inward Math

An venture inward the production of certainly goods volition bespeak a fixed damage (employee wages, edifice costs, banking concern credit interest, etc.) too variable costs (costs required inward the production process)

In an established business, a companionship volition come about possibly:

• If the sentiment received exceeds the full damage (variable damage + fixed cost) incurred, too then the draw of piece of job organization is said to locomote profitable.
• If the income received is less than the full damage incurred, too then the companionship is said to locomote a loss.
• If the accepted sentiment equals the full damage incurred, too then the draw of piece of job organization is said to locomote inward a status non to lose. This status is called Break Even Point.

Example Question of Break Even Point

CV SEJAHTRA produces children's toys for $6,500 per unit. The fixed costs incurred are $17,500,000. If the toy volition sell for $10,000/per unit, cause upwards one's hear the reveal of toys that must locomote sold inward guild to intermission fifty-fifty point!

Answer:
B = Variable costs + Fixed costs
B = 6,500x + 17,500,000

Break fifty-fifty betoken occurs if:
Total damage = Revenue
6,500x + 17,500,000 = 10,000x
6,500x - 6,500x + 17,500,000 = 10,000x - 6,500x
17,500,000 = 3,500x
17,500,000/3,500 = 3,500x/3,500
5,000 = x

So the reveal of toys that must locomote sold to come about intermission fifty-fifty betoken is 5,000 units.

Similarly this article.
Sorry if at that spot is a incorrect word.
The halt of give-and-take wassalamualaikum wr. wb

Referensi :

• To'Ali's mass math grouping accounting too sales