Breakeven Analysis?

[fell77]

Hello All,
I wish that sum one out there can help me with the breakeven analysis on products and services? The problem I need help on is this one:

For my cater business: I offer Year Round Holiday Dinner Combos...I want to use the “Equation Method” because it’s a basic analysis and not complicated to follow-thru. The formula: Sales=Variable Expenses+ Fixed Expenses + Profit. Due to various items we are selling, I will focus on one item to do the Breakeven Point.

the problem:Year Round Holiday Dinner Combo will be priced at: given we will sell this combo to 10 clients each month for whatever the event is.

$25.00 a head {unit} = 10 guests /10 {clients per month sold}
$25.00 x10.00 guests/10 {clients per month} = $2500.00 to breakeven

Direct Costs for entire Year Round Holiday Dinner $200.00

Am I close to an answer??:roll:

 

[tkhunny]

I'm going with "Insufficient Information". What is the nature of your profit requorements?

 

[fell77]

Math Issue

I have had a phobia of math for years. this is an assignment for a business class. the idea is to pick an item from my existing catering biz. the end result is to ensure at the end of the formula to breakeven with that product ....im not sure if im explaining it right??

And then i must do a 12 month sales forecast which is due tonight:?:????