A company has a fixed cost of Rs. 50,000 and a variable cost of Rs. 10 per unit. If the company sells its output for Rs. 20 per unit, what is the breakeven point?

TC = Fixed cost + Variable cost per unit x Q

In this case, the fixed cost is Rs. 50,000 and the variable cost per unit is Rs. 10. Therefore, the total cost can be expressed as:

TC = Rs. 50,000 + Rs. 10 x Q

The total revenue (TR) generated from selling Q units for Rs. 20 per unit can be expressed as:

TR = Price per unit x Q
TR = Rs. 20 x Q

The breakeven point occurs when total revenue equals total cost. So, we can set TR equal to TC and solve for Q:

Rs. 20 x Q = Rs. 50,000 + Rs. 10 x Q

Rs. 20 x Q - Rs. 10 x Q = Rs. 50,000

Rs. 10 x Q = Rs. 50,000

Q = 5,000

Therefore, the breakeven point is 5,000 units. The company needs to sell 5,000 units to cover its total costs of Rs. 50,000 and start making a profit.