Knowledge Check 01 The break-even point is the level of sales at which...

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Accounting

Knowledge Check 01
The break-even point is the level of sales at which total _________blank.
multiple choice 1
profits equal total costs
profits exceed total costs
revenue equals total costs
revenue equal total projected revenue
Knowledge Check 02
Once the break-even point has been reached, net operating income will increase by the amount of the _________blank for each additional unit sold.
multiple choice 2
fixed expense per unit
variable expense per unit
unit selling price
unit contribution margin
Knowledge Check 03
Constance Corporation has a single product. Its selling price is $80 and the variable costs are $30. The companys fixed expenses are $5,000. What is the companys break-even point in unit sales?
multiple choice 3
50 units
167 units
63 units
100 units
Knowledge Check 04
Portsmouth Corporation has a single product; the product selling price is $100 and its contribution margin ratio is 40%. The companys fixed expenses are $10,000. What is the companys break-even point in sales dollars?
multiple choice 4
$16,667
$25,000
$250
$2,500

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