{"id":27323,"date":"2021-02-01T07:55:11","date_gmt":"2021-02-01T07:55:11","guid":{"rendered":"http:\/\/onlineclassesguru.com\/?p=27323"},"modified":"2021-02-01T07:55:11","modified_gmt":"2021-02-01T07:55:11","slug":"break-even-analysiswhen-expenses-and-revenues-are-equal-this-is-known-as-the-break-even-point-or-bep-to-determine-break-even-an-examination-of-fixed-and-variable-costs-expenses","status":"publish","type":"post","link":"https:\/\/onlineclassesguru.com\/index.php\/2021\/02\/01\/break-even-analysiswhen-expenses-and-revenues-are-equal-this-is-known-as-the-break-even-point-or-bep-to-determine-break-even-an-examination-of-fixed-and-variable-costs-expenses\/","title":{"rendered":"Break-Even AnalysisWhen expenses and revenues are equal, this is known as the \u2018break-even point\u2019 or BEP. To determine break-even, an examination of fixed and variable costs (expenses) in relationship to revenues is necessary"},"content":{"rendered":"<style type=\"text\/css\"><\/style><p>Application: Break-Even AnalysisWhen expenses and revenues are equal, this is known as the \u2018break-even point\u2019 or BEP. To determine break-even, an examination of fixed and variable costs (expenses) in relationship to revenues is necessary. Understanding where the BEP is for a given product or service helps managers determine how to make modifications to increase profitability.For this Assignment, review this week\u2019s Media, the Weekly Briefing, and the information given below.LaTricia Jones is planning to make a unique toy that will keep small children entertained for hours! She believes that parents everywhere will want to buy her toy, and she needs to determine her costs and the number of toys she needs to sell before earning a profit.After researching her costs, she has come to the following conclusions.The rental of a small facility will be $2,200 per month, insurance $500 per month, and other fixed costs are estimated at $1,300 per month. In this facility, she will be able to produce 100 toys per month at a variable cost for each toy of $5.00. She plans to sell them for $30 each.The rent for a larger facility will be $5,000 per month, insurance $1,000 per month, and other fixed costs are estimated at $2,580 per month. In this facility, she will be able to produce 400 toys per month at a variable cost for each toy of $4.00. She plans to also sell them for $30 each.The Assignment:Part 1:Calculate the break-even point for LaTricia Jones\u2019 toy company under each of the two different scenarios using a spreadsheet program such as Excel. Be sure to apply the appropriate accounting process to determine the break-even points.Part 2:Recommend which option, based on the scenarios for the company, that you would select using a word processing program such as Word. Support your conclusion with both a written analysis and quantitative data.Submityour Application (both your Excel and Word files) byDay 7.To submit your Assignment, do the following:Save Part 1 of your Assignment as a \u2018.xls\u2019 file with the filename \u2018WK6AssgnP1+last name+first initial.xls\u0080\u009d. Sally Ride\u2019s filename would be \u2018WK6AssgnP1RideS.xls\u0080\u009d.Save Part 2 of your Assignment as a \u0080\u009d.doc\u2019 file with the filename \u2018WK6AssgnP2+last name+first initial.doc\u0080\u009d. Sally Ride\u2019s filename would be \u2018WK6AssgnP2RideS.doc\u0080\u009d.To upload Part 1 of your Assignment, click onAssignmentson the course navigation menu, and then click theAssignment Part 1 \u2013 Week 6link.To upload Part 2 of your Assignment, click onAssignmentson the course navigation menu, and then click theAssignment Part 2 Turnitin \u2013 Week 6link.General Guidance on Application Length:Your Application, due byDay 7, will typically be 2 \u2013 3 paragraphs in length as a general expectation\/estimate for each bullet point. Refer to the rubric for the Week 6 Application for grading elements and criteria. Your Instructor will use the rubric to assess your work.<\/p>\n<p><center><a href=\"http:\/\/onlineclassesguru.com\/orders\/ordernow\"><img decoding=\"async\" src=\"https:\/\/encrypted-tbn0.gstatic.com\/images?q=tbn:ANd9GcTyj99p60XCLyLk1htB7-1neRt8-2QdnenNlQ&usqp=CAU\"target=\"_http:\/\/onlineclassesguru.com\/orders\/ordernow\"\/><\/center><p>","protected":false},"excerpt":{"rendered":"<p>Application: Break-Even AnalysisWhen expenses and revenues are equal, this is known as the \u2018break-even point\u2019 or BEP. To determine break-even, an examination of fixed and variable costs (expenses) in relationship to revenues is necessary. Understanding where the BEP is for a given product or service helps managers determine how to make modifications to increase profitability.For&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-27323","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v17.0 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Break-Even AnalysisWhen expenses and revenues are equal, this is known as the \u2018break-even point\u2019 or BEP. 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