Evaluate break even point, Civil Engineering

Assignment Help:

Evaluate break even point:

A vehicle manufacturing firm purchase axle from a shaft manufacturing industry at Rs.100 each. If it establishes the essential apparatus for the production of the axle in its plant a fixed cost of Rs.100, 000 per year and a variable cost of Rs. 40 is incurred. What volume is essential in order to recover the fixed cost?

The problem is simply a problem of finding the break even point of the process concerned. At the break even point margin between selling price and variable costs recovers the fixed cost incurred in the manufacture of the product.

Or,

B = 100, 000 / (100 - 40)

= 1667 units


Related Discussions:- Evaluate break even point

Explain the fluid pressure at any point on the surface, Pressure at Any Poi...

Pressure at Any Point on the Surface of a Horizontal Plane  Fluid pressure is the same at any point on the horizontal plane because: 1.  The fluid specific weight is the sam

Can all utility detectors detect depth of utilities, Question Can all u...

Question Can all utility detectors detect depth of utilities ? Answer In Hong Kong, underground utility detectors are as a rule separated into two categories- electro

What are dissimilar applications of draglines, Question: What are dissi...

Question: What are dissimilar applications of draglines, backhoes and shovels? Answer: An excavator is distinct as a power-operated digging machine and it includes di

Define cleaning for underwater inspection of bridge, Define Cleaning for Un...

Define Cleaning for Underwater Inspection of Bridge? Before any structure can be inspected, it is necessary to expose the surface material of the structure. Wherever there is m

Lifting hoops in precast concrete, Q. Lifting hoops in precast concrete - m...

Q. Lifting hoops in precast concrete - mild steel vs. high yield steel Strength of high yield steel is undoubtedly higher than mild steel and therefore high yield steel is gen

Types of loads and resulting stresses, • Applied loads result in internal f...

• Applied loads result in internal forces consisting of a shear force (from the shear stress distribution) and a bending moment (from the normal stress distribution) • Bending s

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd