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MBA, Ph.D in Management
Harvard university
Feb-1997 - Aug-2003
Professor
Strayer University
Jan-2007 - Present
Hello I was wondering if possible you could update the problem if possible for,Â
part 3 of the charts, the increment of your sales units in the data points is way too large. It is because the break-even point in units is 1,222.2. Your first data point jumps to 10,000 sales units, which cannot really show the intersection of the sales and total costs. If you could change the increment from 10,000 to 300 or 400 units. For the second chart, the profit/loss chart, you just need the green line. The other two lines of total costs and sales are not necessary. For the margin of safety in percent in part 6, shouldn’t the denominator (3000*60)? So you will arrive 59.26% for the margin of safety in percent.
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