A company's break-even point will not be increased by:
A)an increase in the number of units produced and sold.
B)a decrease in the selling price per unit.
C)an increase in the variable cost per unit.
D)an increase in the variable cost ratio.
E)an increase in total fixed costs.

Question

Quizplus · Accepted Answer

An increase in the number of units produced and sold does not affect the break-even point, as it is determined by fixed costs, variable costs per unit, and selling price per unit, not by the volume of sales.

A Company's Break-Even Point Will Not Be Increased By