ENTREPRENEURSHIP

Detailed explanation-1: -In corporate accounting, the breakeven point (BEP) formula is determined by dividing the total fixed costs associated with production by the revenue per individual unit minus the variable costs per unit. In this case, fixed costs refer to those that do not change depending upon the number of units sold.

Detailed explanation-2: -To calculate the break-even point in units use the formula: Break-Even point (units) = Fixed Costs ÷ (Sales price per unit – Variable costs per unit) or in sales dollars using the formula: Break-Even point (sales dollars) = Fixed Costs ÷ Contribution Margin.

Detailed explanation-3: -Solution(By Examveda Team) = 6000 × ( 90-40) = Rs. 300000.

Detailed explanation-4: -Break-Even Point (Units) = Fixed Costs ÷ (Revenue per Unit – Variable Cost per Unit) Break-Even Point (sales dollars) = Fixed Costs ÷ Contribution Margin. Contribution Margin = Price of Product – Variable Costs.