The break-even point (BEP)= [Fixed cost / (__________ - Unit variable cost)].
A) Total cost
B) Total expense
C) Fixed cost
D) Unit variable cost
E) Unit price

Question

Quizplus · Accepted Answer

The break-even point is calculated by dividing the fixed costs by the difference between the unit price and the unit variable cost. This difference is the contribution margin per unit.

The Break-Even Point (BEP)= [Fixed Cost / (__________ - Unit