find the BEP dollar volume of sales if the selling price is 10/ unit
I think you have left out the information on cost.
To find the Break-Even Point (BEP) dollar volume of sales, we need to consider the selling price and the total fixed costs.
Step 1: Identify the fixed costs.
Fixed costs are the expenses that do not change, regardless of the number of units sold. These costs include rent, salaries, equipment, etc.
Step 2: Determine the contribution margin.
The contribution margin is the amount of each unit's selling price that contributes to covering the fixed costs and generating a profit. It is the selling price per unit minus the variable cost per unit.
Step 3: Calculate the Break-Even Point (BEP).
The Break-Even Point represents the level of sales where the total revenue equals the total costs. It can be calculated using the formula:
BEP (in units) = Fixed Costs / Contribution Margin
Step 4: Calculate the BEP dollar volume of sales.
To determine the BEP dollar volume of sales, multiply the Break-Even Point (in units) by the selling price per unit.
Let's assume the fixed costs are $1,000. The selling price per unit is $10.
Step 1: Identify the fixed costs.
Fixed Costs = $1,000
Step 2: Determine the contribution margin.
Since the selling price per unit is $10 and no variable cost is given, we can assume it to be $0. Hence,
Contribution Margin = Selling Price per unit - Variable Cost per unit = $10 - $0 = $10
Step 3: Calculate the Break-Even Point (BEP).
BEP (in units) = Fixed Costs / Contribution Margin = $1,000 / $10 = 100 units
Step 4: Calculate the BEP dollar volume of sales.
BEP dollar volume of sales = BEP (in units) * Selling Price per unit = 100 units * $10 = $1,000
Therefore, the Break-Even Point (BEP) dollar volume of sales is $1,000 if the selling price is $10 per unit.
To find the Break-Even Point (BEP) dollar volume of sales, you need two pieces of information: the selling price per unit and the total fixed costs.
However, you have only provided the selling price per unit, which is $10. To calculate the BEP dollar volume of sales, you also need to know the total fixed costs or any additional information like variable costs.
If you have the fixed costs or any other relevant information, please provide it, and I'll be happy to help you with the calculation.