Thread: Algebra on CVP Analysis

Hi Guys,

Algebra has never been one of my academic strong points and whilst I understand the basics I'm having trouble understanding the workings of the following calculation. So yes I do have the answer but I just don't get how the final result was reached, any assistance would really be appreciated:

P = SX-VF-F (No need to drill down here, I understand the CVP formulae)
For this particular equation though the workings were revealed as follows:

10% of 2.5x = 2.5x - 2x - 800
x = 3200

Feedback would be appreciated.

(10% of 2.5x) = 2.5x - 2x - 800

0.25x = 2.5x - 2x - 800

0.25x = (2.5x - 2x) - 800

0.25x = 0.5x - 800

0.25x - 0.5x = -800

(0.25x - 0.5x) = -800

-0.25x = -800

x = (-800)/(-0.25) = 800*4 = 3200

Basic Operations. One at a time.

Thank you TK, the expanded workings make a great deal more sense.

Really appreciate it.