Question

24. The break-even point is the point
where:
a. Total sales revenue equals
O total expenses (variable and
fixed)
O
b. Total contribution margin
equals total fixed expenses
c. Total sales revenue equals to
variable expenses only
O d. Both a & D​

Answer 1

Answer:

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Answer 2

Explanation:

What Is the Break-Even Point?

The break-even point is the point where a company’s revenues equals its costs. The calculation for the break-even point can be done one of two ways; one is to determine the amount of units that need to be sold, or the second is the amount of sales, in dollars, that need to happen.

The break-even point allows a company to know when it, or one of its products, will start to be profitable. If a business’s revenue is below the break-even point, then the company is operating at a loss. If it’s above, then it’s operating at a profit.