Calculate the Accounting Break-Even Point for the Following Firm: Revenues

question 114

Essay

Calculate the accounting break-even point for the following firm: revenues of $700,000, $100,000 fixed costs, $75,000 depreciation, 60 percent variable costs, and a 35 percent tax rate.What happens to the break-even if a trade-off is made which increases fixed costs by $30,000 and decreases variable costs to 55 percent of sales?

Examine the effect of human consumption on resource demand over time.

Assess the influence of technological progress on resource demand and commodity prices.

Describe the trends in commodity prices and the underlying economic reasons.

Understand basic units and terms in energy economics.

---

Definitions:

Genetically Determined

Traits or conditions that are influenced or dictated by one's genetic makeup.

Hierarchy of Needs

Maslow's theory of psychological health predicated on fulfilling innate human needs in priority, culminating in self-actualization.

Construct System

A psychological concept referring to the collection of ideas and beliefs through which a person perceives and interprets the world.

Permeable

Characteristic of a material or membrane that allows substances to pass through it.