G10 WK9 BUSINESS COSTS AND BREAK EVEN POINT AND CHART REVIEW

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Business StudiesSecondary Education

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Calculate the variable cost per unit in February for Areej juice if:
fixed costs are 5,550 AED, variable costs are 3,300 AED and the total output is 1,500.
A
2.2 AED
B
5.8 AED
C
4,955 AED
D
8,325 AED

Slide 7 - Quiz

What is the break-even point?
A
It is the exact number where total revenue equals total costs.
B
It is the number of revenue divided by costs.

Slide 8 - Quiz

Why do we use the break-even point?
A
To set prices and know how many products to sell to make a profit.
B
To know which method of production to use.

Slide 9 - Quiz

How do we calculate the break-even point?
A
1. selling price per unit/ variable cost per unit 2. total fixed costs/ contribution per unit
B
1. total revenue/ total fixed costs 2. fixed costs/ average costs

Slide 10 - Quiz

Slide 11 - Diapositive

Which line do we draw first on a break-even chart?
A
total revenue
B
total cost
C
fixed cost

Slide 12 - Quiz

Which line is parallel to the variable costs line?
A
total revenue
B
total cost
C
fixed cost

Slide 13 - Quiz

Why do we use the break-even chart?
A
to show where all the costs are
B
to show where the break-even point is
C
to show the number of output

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