Application of Cost Volume Profit (CVP) as a Profit Application on UMKM Dzakira Catering Mba’ Ayu in Bangkalan

Abstract

Profit planning is a very important initial stage in business because it can help management run it. Because all business operations can be managed and controlled. Good profit planning can help a company determine the level of profit it wants to obtain to optimize its profits. Good profit planning is assessed if company management can take into account profit-forming variables such as price, sales volume, and costs. The aim of this research is to determine the size of the contribution margin at Dzakira Catering Mba' Ayu. To find out the break-even point and margin of safety at Dzakira Catering Mba' Ayu. With this, we can know the amount of sales that must be achieved if MSMEs expect an increase in profits at Dzakira Catering Mba' Ayu. According to (Rudianto, 2013) Break-even analysis is an analysis method used by business actors to determine the minimum sales amount that must be achieved to cover all costs incurred. BEP analysis provides information to companies regarding the minimum amount of sales that must be achieved so that the company does not experience losses, as well as the minimum amount that must be achieved to obtain certain profits. MSME Dzakira Catering Mba' Ayu determines the selling price using a simple calculation: the calculated capital amount is multiplied twice