Eric Asare unit 3 p5
Any profit that
was made in
the company
would be
The breaking even
above
point in the chart is
when the purple line
(total revenue)
crosses the green line
(total cots) and the Any lost that
two line crosses at was made in
the company
was below
£2,000.00.
Margin of safety
Actual sales- BEP= margin of safety
I have sold 75 items
My breakeven point is 69
My margin of safety is 75-69=6
I have actually sold 6 more than I needed so I have made profit.
1 | Page
Any profit that
was made in
the company
would be
The breaking even
above
point in the chart is
when the purple line
(total revenue)
crosses the green line
(total cots) and the Any lost that
two line crosses at was made in
the company
was below
£2,000.00.
Margin of safety
Actual sales- BEP= margin of safety
I have sold 75 items
My breakeven point is 69
My margin of safety is 75-69=6
I have actually sold 6 more than I needed so I have made profit.
1 | Page