Quail,Inc. ,has a contribution margin of 40% and fixed costs of $130,000.What is the break-even point in sales dollars?
A)$52,000
B)$325,000
C)$225,000
D)$78,000

Name: Quail,Inc. ,has a contribution margin of 40% and fixed costs of $130,000.What is the break-even point in sales dollars? A)$52,000 B)$325,000 C)$225,000 D)$78,000
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The break-even point in sales dollars can be calculated using the formula: Break-even point = Fixed Costs / Contribution Margin Ratio. Here, it's $130,000 / 0.40 = $325,000.

Quail,Inc ,Has a Contribution Margin of 40% and Fixed Costs