Numerical - Calculate B.E.P for given sales & profit

Q.  Given Sales in first and second year is Rs 80,000 and Rs 90,000 respectively. Also, profit is Rs 10,000 and Rs 14,000 respectively. What is the break-even point in rupees?
- Published on 11 Sep 15

a. Rs 10,000
b. Rs 24,000
c. Rs 55,000
d. None of the above

ANSWER: Rs 55,000
 

    Discussion

  • Ankit    -Posted on 27 Jan 23

    P1= 10,000; P2= 14,000; S1= 80,000; S2 = 90,000
    P/V= constant for a particular product
    P/V = F+P/S
    SO, P/V = F+P1 /S1 = F+P2/S2
    P/V for BEP = F/S(BEP)
    F+P1/S1 =F+P2/S2
    F+10,000/80,000 = F+ 14,000/90,000
    on solving above equation
    F= 22,000
    P/V is constant for a particular product,
    So, F+P1/S1= F/S(BEP)
    22,000+ 10,000 /80,000= 22,000/S(BEP)
    on solving this equation,
    S(BEP) = 55,000
  • Aalisha sangole    -Posted on 13 Jun 22
    80000 - 90000 = 10000
    10000 - 14000 = 4000
    4000÷10000 × 100 = 40%
    Fixed cost = 80000 × 40% = 32000 - 10000 = 22000
    BEP = 22000 ÷ 40 % = 55000
  • Kajal   -Posted on 21 Jan 21
    Please explain the question
  • Patil   -Posted on 03 Nov 20
    Bad

Post your comment / Share knowledge


Enter the code shown above:

(Note: If you cannot read the numbers in the above image, reload the page to generate a new one.)