1. If a company cannot sell enough to break even, what are the options? All of these...

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General Management

1. If a company cannot sell enough to break even, what are theoptions?

All of these are valid options

Pull the plug

Attempt to raise sales price

Try to reduce variable costs

Search for someone else to make it for you

Try to reduce fixed costs

None of the above

Mcq choose 1

Answer & Explanation Solved by verified expert
3.6 Ratings (433 Votes)
TheoryIf the breakeven point is not reached it means the companycould not cover its fixed cost with profits from selling thenumber of units they soldOption EvaluationPlug the Plug Unadvisable as some profits can still be made byan alternative methodAttempt to raise sales prices    See Answer
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