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Which of the Following Definitions of Break-Even Point Is Correct

Question 2

Multiple Choice

Which of the following definitions of break-even point is correct?


A) The break-even point is where total revenue equals total fixed costs plus variable costs.
B) The break-even point is where total sales revenue equals total contribution.
C) The break-even point is where total fixed costs equals total variable costs.
D) The break-even point is where total revenue equals total fixed costs less variable costs.

Correct Answer:

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