In class we conducted a activity to help us with the task, we worked as a group we had to pick a product to sell which we chose a designer jeans, are business was open for 50 week in the trading year. That means we have to sell 32 pairs of designer jeans per week (1600/50 weeks) in order for the business be safe I have to sell average of 32 jeans. Break-even sale=fixed costs/contribution I have highlighted my break-even analysis chart, on my diagram below.
This gives the owner of designer jeans company a clear indication where it is, and what the owner need to do to break-even. The chart makes the process easier when opening a new business, business by making a chart it shows the loan company at what time the owner expect to gain profits. I can now calculate were my business is going in long term. From the table I have provided I can now see that if I sell 40 pairs of designer jeans per week I would make about i??
10000 profit for the trading year, I process the information that I have provided to excel and produced a graph, the graph below shows were I break-even. The graph I have provided it shows that I break-even quickly (at 70. 00-3) (business is safe) than I started making profits easier. Total Costs/ the total cost is all the business needs to pay which is determined by adding the variable cost to fixed costs. As the volume of production increases, total cost increase as more money is going towards variable cost Revenue / is all the money coming in the organisation.
The aim of this assignment is to analyse and describe how two different types of organisation which operate for difference reasons (one profit making organisation Sainsbury and a charitable organisation Oxfam) can achieve their aims and objectives. In order to complete this task effectively a variety numbers of research is required. I will be using the internet to help me find out the annual report of companies plus their aims and objectives in order to meet the requirement of the assignment. Oxfam Charitable Organisation
Oxfam is a charitable organization that aims at making the world a better place to live in and a world where there is no longer poverty and suffering. They want to help ensure that every individual is assured of a sustainable livelihood, education and health, life and security, a right to be heard and a right to equity. As it is a not profit organization Oxfam relied mainly on donation from people all over the world. Oxfam have many charitable shops that collect it donation. The donation varies it could be anything from: records, clothes, money, books etc.