Description
In paper 1 Illustrate a break-even analysis scenario in your industry. Discuss the relevant fixed costs, variable costs, expenses, and revenues. Also discuss a possible break-even point for your scenario.
Again, when selecting a company, choose one that is different from the one chosen for your final project. You may use the Yahoo! Industry Summary to help you in choosing a company.
For additional details, please refer to the Case Study Three Guidelines and Rubric document.
FOR THE YAHOO INDUSTRY SUMMARY LINK IS https://finance.yahoo.com/screener, for the rubric use attachment rubric1Aa and don't choose the company APPLE
ALSO,
In a separate paper write :Provide at least one good (or bad) example of profit planning done by a firm you are familiar with, for example, a current or former employer. How would you determine if the firm’s information (provided in different formats by both the firm and other organizations) seems to be reasonable in their financial statements?
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Running head: BREAK-EVEN ANALYSIS
BREAK-EVEN ANALYSIS
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Running head: BREAK-EVEN ANALYSIS
A break-even analysis is a brief description in a company to determine a certain point where
the cost and expenses of running the company are the same to the profit margins or received
revenue. The analysis is mainly based on the sales of a company. For a company to be successful
it must reach a break-even point, where this is a point where the expenses equal the net sales. In
break-even analysis, there are several factors which should be considered such the cost, expenses
and the revenue of the company.
In this break-even analysis, will be based on the wireless communication company. This is
a company which deals with the passing of information and data for different people around the
world without considerations of their respective places. A wireless communication company is
comprised of factors which should be considered to determine a break-even analysis such as the
cost for installation of satellites, wireless routing devices such as switches and routers
The company will determine the expenses used in the installation of all the devices in
different areas to ease the communications (Michael, 1979). The costs of purchasing equipment’s
such a computer and the premises of office work should be analysed and recorded for future
purposes. There are variables expenses incurred by the company such as the provision of better
services to customers which increase expenses on the company.
Fixed costs are costs which must be paid...