_____ analysis shows the mix of fixed and variable costs at various output levels and the volume required for zero profit/loss.
A)Income-cost
B)Breakeven
C)Operations
D)Input

Question

Quizplus · Accepted Answer

Breakeven analysis is a financial tool used to determine the level of sales that a company needs to make in order to cover all of its expenses and break even. It shows the mix of fixed and variable costs at various output levels and the volume required for zero profit/loss. This information is important for businesses to set pricing strategies, evaluate profitability and make informed decisions about production levels.

_____ Analysis Shows the Mix of Fixed and Variable Costs