This company deals in the supply of natural gas to homes, businesses and other users in community. Natural gas is one of the most versatile, environmentally friendly and dependable sources of energy available. Nothing will warm a home like natural gas, so let SCE&G help you make the most of it (www. sceg. com) At break-even Sales = total cost Assume the rent is 20,000, fixed cost 25000, wages 12 per unit, variable cost 10 per unit If the revenue price per unit is US$ 220 the break-even will as follows:-
220X y = 12y+10y +20000+25000 45000 = 198y Y = 228 units The unit of measurement is gas cylinders In case, they want to adjust the selling price upward to 240. the breakeven will be as follows: 240X y = 12y+10y +20000+25000 45000 = 218y Y = 207 units In case, they want to adjust the selling price downward to 200. The breakeven will be as follows: 178X y = 12y+10y +20000+25000 45000 = 178y Y = 253 units.