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Q. Explain Break-even analysis?
Cost-volume-profit (CVP) analysistracks that how profit changes when there are changes insales price, variable costs, fixed costs &quantity.
It is a good illustration of "what if? "Analysis and it in particular looks at sales minus variable costs which is termed as contribution.It permits management to understand the level of sales needed to cover all costs of a project and what level of sales is required start making profits.To break even would mean that an organisation would be earning no profit and no loss.
Sales revenue = All variable and fixed cost
Main assumptions in this model are thatfixed costs, selling price and variable costs are constant.
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In Lowe's Companies, Inc. 2012 Annual Report (Form 10-K) 1. Evaluate Lowe's investment in property, plant and equipment. Determine the following amounts as reported by Lowe's on it
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1.Assume that Abel business corporation is purchasing new equipment, for 350,000$ at the beginning of 2014. Assume that Abel business corporation is in the 30% corporate tax bracke
Advertising expense $17,200 Wages expense-assemblers 36,840 Depreciation expense-machines 21,480 Utilities expense-factory 21,120 Wages expense-lathe operators 23,480 Repair expens
types
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CVP for Multiple Products What number of businesses sells only one manufactured goods? The reality is that firms usually give us the diverse product line, and the individual pr
format of manufacturing,tradind,p/l a/c
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