Sub: Finance Topic: CVP Analysis
Computation of Break even volume of service revenue
ClassOf1 provides expert guidance to College, Graduate, and High school students on homework and assignment problems in
Math, Sciences, Finance, Marketing, Statistics, Economics, Engineering, and many other subjects.
Aqua Systems Engineering provides consulting services to city water authorities. A recent
income statement revealed variable costs of $740.000 on a sales level of $1,000,000. Annual
fixed expenses are $200,000, and the firm’s income tax rate is 35 percent.
a. Calculate the firm