Sabina Sindhu (Sabina Sindhu)

सबिना सिन्धु (Sabina Sindhu)

सबिना सिन्धु (Sabina Sindhu)

सबिना सिन्धुः फूलहरुसंग म (Sabina Sindhu)

Steps (Jumping) Fixed Cost and Multiple BEP

Break even point is determined by dividing the fixed cost by the contribution margin per unit. It the fixed cost is jumping one (i.e. step fixed) then it is required to consider a different amount of fixed cost corresponding to each step. As such BEP is computed for each level of fixed cost. Some of these computations of BEP may not be feasible because they may violate the limit imposed by the relevant range corresponding to the level of fixed cost considered in their computation. As a result real or actual BEP is determined through trial and error approach. (Munakarmi, 2003:136)