Walden University MBA Break-Even Analysis Worksheet

Word doc with a brief discrption and an excel filled out. “Kendall Lane is planning to make a unique toy that promises to keep small children entertained for hours. Kendall believes that parents everywhere will want to buy this toy. With a selling price of $25, Kendall now needs to determine the costs and the required number of toys needed to be sold before earning a profit, the break-even point.After researching the costs to produce the toy, the following two locations with associated costs have been determined:The rent for the small facility will be $2,600 per month, insurance $600 per month, and other fixed costs are estimated at $1,500 per month. This facility has a capacity to produce 200 toys per month at a variable cost for each toy of $5.00.The rent for a larger facility will be $5,000 per month, insurance $800 per month, and other fixed costs are estimated at $2,000 per month. This facility has a capacity to produce 450 toys per month at a variable cost for each toy of $5.00.When expenses and revenues are equal, this is known as the break-even point or BEP. To determine break-even, an examination of fixed and variable costs (expenses) in relationship to revenues is necessary. Understanding where the BEP is for a given product or service helps managers determine how to make modifications to increase profitability.For this Assignment, review this weeks Media, the Weekly Briefing, and the information in the scenario posted in the entry titled Week 6 Assignment located in the Doc Sharing link.The Assignment:Part 1: Calculate the break-even point for the toy company under each of the two different scenarios using a spreadsheet program such as Excel. Be sure to apply the appropriate accounting process to determine the break-even points.Part 2: Recommend which option, based on the scenarios for the company, that you would select using a word processing program such as Word. Support your conclusion with both a written analysis and quantitative data.
Break Even Analysis Small Facility
Break Even Analysis Large Facility
Price
Variable Costs
Fixed Costs
Rent
Insurance
Other
Price
Variable Costs
Fixed Costs
Rent
Insurance
Other
Break-even Quantity
Break-even Quantity

Purchase answer to see full
attachment

Our Service Charter

1. Professional & Expert Writers: Homework Free only hires the best. Our writers are specially selected and recruited, after which they undergo further training to perfect their skills for specialization purposes. Moreover, our writers are holders of masters and Ph.D. degrees. They have impressive academic records, besides being native English speakers.

2. Top Quality Papers: Our customers are always guaranteed of papers that exceed their expectations. All our writers have +5 years of experience. This implies that all papers are written by individuals who are experts in their fields. In addition, the quality team reviews all the papers before sending them to the customers.

3. Plagiarism-Free Papers: All papers provided by Homework Free are written from scratch. Appropriate referencing and citation of key information are followed. Plagiarism checkers are used by the Quality assurance team and our editors just to double-check that there are no instances of plagiarism.

4. Timely Delivery: Time wasted is equivalent to a failed dedication and commitment. Homework Free is known for timely delivery of any pending customer orders. Customers are well informed of the progress of their papers to ensure they keep track of what the writer is providing before the final draft is sent for grading.

5. Affordable Prices: Our prices are fairly structured to fit in all groups. Any customer willing to place their assignments with us can do so at very affordable prices. In addition, our customers enjoy regular discounts and bonuses.

6. 24/7 Customer Support: At Homework Free, we have put in place a team of experts who answer to all customer inquiries promptly. The best part is the ever-availability of the team. Customers can make inquiries anytime.