If breakeven point is 1,000 units, each unit sells for $30, and fixed costs are $10,000, then on a graph the:
A)total revenue line and the total cost line will intersect at $30,000 of revenue
B)total cost line will be zero at zero units sold
C)revenue line will start at $10,000
D)All of these answers are correct.

Question

Quizplus · Accepted Answer

At the breakeven point, total revenue equals total costs. With 1,000 units at $30 each, revenue is $30,000, where the lines intersect.

If Breakeven Point Is 1,000 Units, Each Unit Sells for $30