calculate how many units need to be sold to break even, based on the costs provided in task #3.
MGMT 640-Break-Even Analysis-calculate how many units need to
Subject: Business / Finance
1)Break-Even Analysis: calculate how many units need to be sold to break even, based on the costs provided in task #3. Assume that only one conference will be attended and the estimated expenses associated with this conference are on target. Also assume that the value for total units per year is based on sales of 70 units per month. Therefore, total units sold per year are 840. The selling price per unit is $79.
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Order Paper Now2) Contribution Margin:
Based on the Break-Even Analysis just performed, what is the contribution margin per unit? Show example and explain in excel for clarification
Advertising Fees = $4,000
Labor = $400/month
One part-time employee will be hired to take care of packaging and shipping. This employee will be paid $10 per hour. He or she is estimated to work 40 hours total per month.
Packaging Supplies = $3,000
Office Supplies = $800
Phone and Internet Service = $115/month
Product Supplies = $9,000
Shipping Fees = $1,000/month
Conference Exhibitor Fee = $3,000
Travel Expenses for Conference (e.g. airfare, meals, taxi) = $1,200
Utilities for the Home Workshop = $105/month
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