Break-even point,profit,loss - 20298

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Break-even point,profit,loss

Periodically, it is good business practice to perform a comparative analysis of select groups of employees against published or calculated norms of similar groups in the marketplace. This analysis can justify actions that will preserve employee satisfaction, promote productivity, and prevent attrition.


The CEO has asked for a market analysis of the salary levels of the software analysts in the company. A linear correlation has been found between the number of trouble calls taken by software analysts and their salaries. The equation for this correlation is expressed as follows:


S = 545X + 36,400


In this equation, X is the number of trouble calls handled weekly by a software analyst, and S is the annual salary of the software analyst. The equation for the annual income to offset the software analyst salary is as follows: 

I = 2,340X


In this equation, X is the number of trouble calls handled weekly by software analysts, and I is the annual income for subsidizing the software analyst salary.




Part 1: Create a Microsoft Excel spreadsheet with any single worksheet, and perform the following steps:


  1. Name the worksheet FirstInitialLastName_Week3IPa (e.g., MRogers_Week3IPa.xls).
  2. Create a table with 3 columns. Label the first column "Weekly Trouble Calls - 
    X," the second column "Salary," and the third column "Income."
  3. In the column labeled "Weekly Trouble Calls," enter numbers from 1 to 50, one number per row.
  4. Create formulas for the Salary column and Income column to calculate the value of S and I based on the equations above for each of the 50 values of X. Format these 2 columns to be currency, rounded to whole dollars.
  5. Create a line graph showing the two lines formed by both equations. Add a  legend  identifying the lines as Salary and Income. Format the axes, if necessary, to avoid a crammed look. For the horizontal axis, specify an interval unit of 5 and choose "Position Axis on Tick Marks."


Part 2: Using text labels, indicate the following information on the graph: 


  1. The break-even point
  2. The area that represents profit
  3. The area that represents loss
Solution Description




break-even point,profit,loss.xlsx
break-even poin...