Breakeven | Contribution | A-Level, IB & BTEC Business

In this video on breakeven analysis, Jim explained the key concept of contribution and how it can be used to calculate the breakeven output.

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VIDEO TIMESTAMPS
00:00 - Introduction to breakeven analysis and the concept of contribution
00:31 - Illustrating the concept of contribution using the example of selling hoverboards
01:43 - Exploring contribution in more detail and how it covers fixed costs and leads to profit
02:19 - Calculation of total contribution and understanding its relationship with fixed costs
03:59 - Explanation of contribution per unit and its significance in calculating break-even level
05:16 - Example calculation of contribution per unit and total contribution using product X
07:00 - Determining profit based on contribution and fixed costs
07:33 - Explanation of break-even output and its formula using fixed costs and contribution per unit
08:41 - Calculation of break-even output using the given example
09:13 - Recap of the concepts of total contribution, contribution per unit, and break-even output