Provide an appropriate response.
-In a profit-loss analysis, point where revenue equals cost.
A) profit-loss point
B) inflection point
C) turning point
D) break-even point

Question

Quizplus · Accepted Answer

The point where revenue equals cost is known as the break-even point. This is the point where the company is neither making a profit nor a loss. It is important for companies to be aware of their break-even point as it helps in making decisions about pricing, production and overall business strategy. The point where revenue equals cost is called the break-even point. This is the point where the company is not making a profit, but is also not incurring a loss. It is important for businesses to calculate their break-even point in order to determine how much they need to sell in order to be profitable.

Provide an Appropriate Response