# break even analysis

mcqspedia.com has 5 Question/Answers about Topic break even analysis

## Break even point is used to compute number of units must be sold to recover

- A. fixed cost
- B. variable cost
- C. variable margin
- D. fixed margin
- Correct Answer: Option A

## Fixed cost is $25,000 USD and contribution to profit and fixed cost is $100 USD then break even point is

- A. 250 units
- B. 200 units
- C. 100 units
- D. 150 units
- Correct Answer: Option A

## In procedure of plotting break even point, break even point is identified by

- A. x-coordinate of y-intercept
- B. x-coordinate of x-intercept
- C. y-coordinate of y-intercept
- D. y-coordinate of x-intercept
- Correct Answer: Option B

## Profit margin is positive if

- A. fixed cost is zero
- B. profit contribution > fixed costs
- C. profit contribution = fixed costs
- D. profit contribution < fixed costs
- Correct Answer: Option B

## Difference between per unit price and variable cost of each unit is called

- A. revenue margin
- B. price margin
- C. cost margin
- D. profit margin
- Correct Answer: Option D