PPT-Cost-Volume-Profit Analysis: Additional Issues

20 Learning Objectives Apply basic CVP concepts 1 Explain the term sales mix and its effects on breakeven sales 2 Determine sales mix when a company has limited resources 3 Indicate how operating leverage affects profitability. Marginals. for linear functions. Break Even points. Supply and Demand Equilibrium. Applications with Linear Functions. Cost, Revenue, Profit, . Marginals. Cost: C(x) = variable costs + fixed costs. Revenue: R(x) = (price)(# sold). SUBJECT. : . . ECONOMICS AND MANAGEMENT. DEPARTMENT :EC . SEM:3. rd. PREPARED BY: . PARIHAR SHIPRA A. (130500111012). PARMAR KINYARI P. (130500111013). PATEL DHARA H. (130500111014). GUIDED BY: . Profit and Loss. Today’s Agenda:. Financials’ Role in Lending. ABCs of P&L. Tools for P&L Analysis. What a lender looks for. Understanding Financials. Increase your ability to see what a lender wants. AP Economics. Mr. Bordelon. Profit. Profit.. . . T. otal revenue minus total cost. π means “profit.”. π = TR – TC. Total revenue.. Price of output times the quantity sold.. TR = PQ. Total cost.. Walker Oxygen Sensors High quality Direct Fit Sensors at the right price. Yes, we have air/fuel ratio sensors and 6 wire sensors. 250-240019 4-07 Ford, various models 250-240189 7-05 GM, various mo A K JHA. Profit and Loss . A. ccount. It is an account prepared to ascertain the net profit or net loss made by a concern during an accounting period. . Profit . and Loss Account is prepared to estimate the net profit or net loss of the business for a given accounting period.. Goal of Section. Overview what economists mean by Cost. (Economic) Cost Functions. Derivation of Cost Functions. Concept of Duality. What it all means. Economic Cost. Economic Cost: Value of what is given up whenever an exchange or transformation of resources takes place. . The costs that an organization incurs even when there is little or no activity are . fixed costs. , or . overhead. .. Finding Marginal Cost. . Variable costs . are usually associated with labor and raw materials and change with the business’s rate of operation or output.. Mr. Henry. AP Economics. AP Review . Questions from Yesterday. A requirement of perfect competition is that. Many firms sell an identical product to many buyers. There are no restrictions on entry into (or exit from) the market, and established firms have no advantage over new firms. Behind the Supply Curve. Profit . Profit = Total Revenue – Total Cost. Primary goal of a firm is to maximize profit. Can be done in two ways. Increase revenue. Reduce costs. What types of costs exist?. 1. This Photo. by Unknown Author is licensed under . CC BY-SA. Unrealised profit: Closing inventory. Reminder of the principle from FIAC6212. Example. P (parent) sold inventory to S (subsidiary) at cost plus 20%. . CHAPTER OBJECTIVES. Meaning of Cost-volume-profit analysis. . Objectives . of Cost-volume-profit . analysis. Assumptions of Cost-volume-profit analysis . T. echniques . or elements of Cost-volume-profit analysis.. Richard Roth, Randolph Kirchain, Elizabeth Moore. Materials System Laboratory. Massachusetts Institute of Technology. Presentation to International Seabed Authority. Open Ended Working Group on Financial Modeling. STATEMENT OF COST. . For The Year Ending…….. Particulars. Total Cost. Per Unit. Add: Opening Stock of Materials XXX. Materials Purchased XXX.