Asked by hector batalla on May 01, 2024
Verified
The point at which total cost equals total revenue and the business is neither making nor losing money is known as ______.
A) the profit area
B) the loss area
C) the breakeven point
D) the profit point
Breakeven Point
The point at which total costs and total revenue are equal, resulting in no net loss or gain for the business.
Total Cost
The complete cost of production or operation, including both fixed and variable costs.
Total Revenue
The total amount of income generated by the sale of goods or services related to a company's primary operations.
- Determine break-even points and comprehend their significance in making pricing choices.
Verified Answer
CE
Carlos ErnestoMay 06, 2024
Final Answer :
C
Explanation :
The breakeven point is the stage where total costs and total revenue are equal, meaning the business is not making a profit or a loss.
Learning Objectives
- Determine break-even points and comprehend their significance in making pricing choices.