Actual Sales – BEP is equals to ________. A) Sales B) Margin of Safety C) Fixed cost D) variable cost
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Answer:
B) Margin of Safety
Explanation:
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Answer:
margin of safety
Explanation:
Traders have a BEP on trades, and businesses also have breakeven points. A company's breakeven is calculated by taking fixed costs and dividing it by the gross profit margin percentage.
\begin{aligned} &\text{Business Breakeven} = \frac { \text{Fixed Costs} }{ \text{Gross Profit Margin} } \\ \end{aligned}
Business Breakeven=
Gross Profit Margin
Fixed Costs
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