For a company with multiple products, the break-even point in dollars is variable costs divided by the weighted-average contribution margin ratio.

Name: For a company with multiple products, the break-even point in dollars is variable costs divided by the weighted-average contribution margin ratio.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The break-even point in dollars is calculated by dividing fixed costs by the weighted-average contribution margin ratio, not variable costs.

For a Company with Multiple Products, the Break-Even Point in Dollars