A break-even analysis is a calculation that helps sales managers figure out:
A)the monthly commissions they pay to salespeople
B)which products have the highest margins for the company
C)whether it is more cost-effective to hire in-house salespeople or independent sales agents
D)how to structure the sales force for maximum efficiency
E)if they should use a line organization reporting structure or a flattened-out reporting structure

Question

Quizplus · Accepted Answer

A break-even analysis helps determine the point at which revenue received equals the costs associated with receiving the revenue, which can be applied to decisions such as whether it's more cost-effective to hire in-house salespeople or independent sales agents.

A Break-Even Analysis Is a Calculation That Helps Sales Managers