Perform Break Even Analysis

Explanation

Use this function to perform a break even analysis. You can choose whether you want to receive the break even price or break even volume.

Prerequisites

The cost calculation must have been performed for the inventory part you want to study.

System Effects

No system effects.

Window

Break Even Analysis

Related Window Descriptions

Break Even Analysis
Break Even Analysis/Break Even Analysis

Procedure

1. Open the Break Even Analysis window.
2. Select the part for which you want to perform the break even analysis from the Part No list box.
3. Click the Break Even Analysis tab.
4. Select the base of the analysis from the Analysis Base list box.
5. Select if you want to receive a break even price or volume by selecting the type of analysis from the Analysis Type list box.
6. If you have selected Price as the analysis type enter a price per unit in the Unit Price field, or if you have selected Volume, enter a volume in the Unit Volume field.
7. You can also specify a fixed cost regardless of the analysis type selected in the Fixed Cost field.
8. Click Calculate.
9. You can now study the result in the graph and corresponding fields that shows the break even unit price, volume, and sales point.