John sells a product for $65 and it cost $30 to produce (UVC) and has fixed cost (FC) of $175,000 per year How much will he need to 1- sell to break-even? 2- How much will he need to sell to make $1000?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter14: Capital Structure Management In Practice
Section14.A: Breakeven Analysis
Problem 6P
icon
Related questions
Question
John sells a product for $65 and it
cost $30 to produce (UVC) and has
fixed cost (FC) of $175,000 per year
How much will he need to
1-
sell to break-even? 2-
How
much will he need to sell to make
$1000?
Transcribed Image Text:John sells a product for $65 and it cost $30 to produce (UVC) and has fixed cost (FC) of $175,000 per year How much will he need to 1- sell to break-even? 2- How much will he need to sell to make $1000?
Expert Solution
steps

Step by step

Solved in 2 steps with 1 images

Blurred answer
Knowledge Booster
Break-even Analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
EBK CONTEMPORARY FINANCIAL MANAGEMENT
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT