Which one of the following is defined as the sales level that corresponds to a zero NPV?
A)accounting break-even
B)leveraged break-even
C)marginal break-even
D)cash break-even
E)financial break-even

Question

Quizplus · Accepted Answer

Financial break-even is the sales level that corresponds to a zero NPV, considering both operating and financing costs. Financial break-even takes into account the cost of capital, which is not considered in accounting, cash, or marginal break-even calculations. Leveraged break-even is similar to financial break-even, but it only considers financing costs.

Which One of the Following Is Defined as the Sales