In an effort to improve the break-even point companies have to:

Question

Quizplus · Accepted Answer

Decreasing the fixed cost will decrease the break-even point by bringing down the overall costs of production. This can be done by renegotiating contracts for raw materials or finding more efficient ways to produce goods without sacrificing quality. Decreasing the quantity sold or decreasing the price may increase revenue, but it may not necessarily improve the break-even point. Increasing the advertising budget may increase brand awareness and lead to increased sales, but it may also increase expenses and not necessarily improve the break-even point.

In an Effort to Improve the Break-Even Point Companies Have