A product sells for €23 per unit. The variable cost is €15 per unit and the fixed costs are €16 000 per month. Find the monthly profit Π when 1 600 units are sold (a loss is negative).
Break-even analysis worksheet with answers
A company sells a product for €31 per unit. The variable cost is €25 per unit and fixed costs are €12 000 per month. How many units Q must it sell per month to break even?
A product sells for €30 per unit with a variable cost of €20 per unit. Fixed costs are €40 000 per month. How many units Q must be sold per month to make a profit of €12 000?
A product sells for €23 per unit with a variable cost of €18 per unit. Fixed costs are €25 000 per month. How many units Q must be sold per month to make a profit of €12 000?
A product sells for €35 per unit, with a variable cost of €20 per unit and fixed costs of €7 500 per year. Budgeted sales are 600 units. Find the margin of safety MS as a percentage of budgeted sales.
A product sells for €23 per unit, with a variable cost of €15 per unit and fixed costs of €32 000 per year. Budgeted sales are 5 000 units. Find the margin of safety MS as a percentage of budgeted sales.
Answer key
- 1. Π = −3200 €
- 2. Q = 2000 units
- 3. Q = 5200 units
- 4. Q = 7400 units
- 5. MS = 16.67 %
- 6. MS = 20 %
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