16

Software Requirements Specification (SRS) for Break-even Calculator

Introduction

Purpose:

The purpose of this document is to define the requirements for the development of a Break-even Calculator. This web-based application aims to assist entrepreneurs and business owners in determining the break-even point for their products or services.

Scope:

The Break-even Calculator will provide users with an interface to input details such as fixed costs, variable costs per unit, and selling price per unit. The application will calculate and display the break-even point in terms of units and revenue.

System Overview

System Description:

The system will be a client-server application. Users will access the Break-even Calculator through a web browser. The server will handle the logic for break-even point calculations.

System Architecture:

The application will follow a three-tier architecture: presentation layer (client-side browser), application layer (server-side processing), and data layer (storage and retrieval of data).

Functional Requirements

Use Cases:

Determine Break-even Point:

  • Users can input details such as fixed costs, variable costs per unit, and selling price per unit.
  • The system will calculate and display the break-even point in terms of units and revenue.
  • Users can visualize the impact of changes in costs or selling price on the break-even point.

Functional Requirements:

Input:

The system shall allow users to enter the following details:

  • Fixed Costs (in INR)
  • Variable Costs per Unit (in INR)
  • Selling Price per Unit (in INR)

Calculation:

  • The system shall calculate the break-even point in terms of units and revenue based on the provided details.

Output:

  • The system shall display the calculated break-even point to the user.

External Interface Requirements

User Interfaces:

  • The user interface shall consist of input fields for fixed costs, variable costs per unit, and selling price per unit, along with a “Calculate” button.
  • The calculated break-even point shall be displayed prominently.

Hardware Interfaces:

  • The system should be compatible with standard computing hardware.

Software Interfaces:

  • The application will be developed using HTML, CSS, and JavaScript for the frontend.
  • The backend can be implemented using a server-side framework (e.g., Node.js, Django) with a database for data storage.

Communication Interfaces:

  • The application will communicate with the server for break-even point calculations.

Performance Requirements

Response Time:

The system should provide a response time of under 3 seconds for a typical user input.

Throughput:

The application should handle at least 50 simultaneous users.

System Constraints

Regulatory Requirements:

The application should comply with relevant financial and business regulations.

Hardware Limitations:

The system should be compatible with devices supporting standard web browsers.

Security Requirements

Authentication:

User authentication may be implemented to ensure data security.

Data Protection:

User data, if stored, should be securely protected.

Quality Attributes

Reliability:

The application should provide accurate break-even point calculations based on the entered details.

Maintainability:

The code should be well-documented for ease of maintenance.

Usability:

The user interface should be intuitive, requiring minimal guidance.

Testing Requirements

Test Cases:

Test cases should cover various scenarios with different fixed costs, variable costs per unit, and selling prices per unit to ensure accurate break-even point calculations.

Test Case 1:

  • Inputs: Fixed Costs = 1,00,000 INR, Variable Costs per Unit = 50 INR, Selling Price per Unit = 100 INR.
  • Expected Output: Break-even Point ≈ 2,000 units, Break-even Revenue ≈ 2,00,000 INR.

Test Case 2:

  • Inputs: Fixed Costs = 2,50,000 INR, Variable Costs per Unit = 30 INR, Selling Price per Unit = 80 INR.
  • Expected Output: Break-even Point ≈ 5,000 units, Break-even Revenue ≈ 4,00,000 INR.

Test Case 3:

  1. Inputs: Fixed Costs = 1,50,000 INR, Variable Costs per Unit = 20 INR, Selling Price per Unit = 60 INR.
  2. Expected Output: Break-even Point ≈ 3,750 units, Break-even Revenue ≈ 2,25,000 INR.

Acceptance Criteria:

The application is considered successful if it produces correct break-even point calculations based on the provided business details.

Project Timeline

Milestones:

Design, Development, Testing, Deployment.

Development Phases:

Frontend development, Backend development, Testing, Deployment.

Glossary

None

Database Structure

Tables:

BreakEven_Calculator_Records:

  • RecordID (Primary Key, Auto-increment)
  • FixedCosts (Decimal)
  • VariableCostsPerUnit (Decimal)
  • SellingPricePerUnit (Decimal)
  • BreakEvenPointUnits (Integer)
  • BreakEvenRevenue (Decimal)
  • CalculationDate (DateTime)

Conclusion

This SRS document outlines the requirements for the Break-even Calculator. It serves as a guide for the development team and ensures that the application meets the specified criteria. Review and approval by relevant stakeholders are essential before proceeding with the development phase.

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