PPT-Cost-Volume-Profit Analysis: Additional Issues

6 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. These investigations are conducted under the authority of Section 20a6 of the Occupational Safety and Health Act of 1970 29 USC 669a6 which authorizes the Secretary of Health and Human Services following a written request from an employer and author AAE 320. Paul D. Mitchell. 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. maximization. Economic profit = total revenue - all economic costs. Economic costs include accounting cost. (. explicit. . costs. ). and opportunity costs (implicit. . costs. ).. Profit maximization. Economics Warm-Up. Identify a . finite number of hours available for . after-school & . identify two activities in which . you . SHOULD engage during . your . after-school hours. . Using . the hours available as the basis for . for . gmat. cat. arpit. . http://www.freegregmatclass.com/. Manufacturer ( i.e. the producer). Wholesaler (dealer) Retailer (shopkeeper). Customer. 20. Learning Objectives. Apply basic CVP concepts.. 1. Explain the term sales mix and its effects on break-even 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). 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. Learning Objectives. Explain the purpose of cost-volume-profit (CVP) analysis. Explain the contribution margin (CM) concept. Compute the break-even (BE) point by using graph, equation, and contribution margin methods. 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.. Taradevi Harakh Chand Kankaria Jain College. Cossipore, Kolkata -700002. Nature of profits:. Profit is a reward of the entrepreneur, rather of the entrepreneurial functions. Profit differs from the return on other factors in 3 important respects:. 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?. 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.