Question

In light of the added hidden costs discussed previously, determine what ticket prices Subrata and Jayanti would have to charge to break even for this production if they had to pay for all donated services and products, assuming they keep the same sales mix and could reach (a) 50% capacity, (b) 65% capacity, and (c) 80% capacity

Answer 1

The breakeven is the point where the total cost and the total revenue are equal.

What is break even?

Your information is incomplete. Therefore, an overview of the break even will be given. Break even simply means the point of balance where neither profit nor loss is made.

In this case, the breakeven is the pony where the total cost and the total revenue are equal. Here, there's no net loss or gain.

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