At the breakeven point, the total contribution margin equals

Question

Quizplus · Accepted Answer

The breakeven point is the point at which total revenue equals total costs. At this point, there is no profit or loss. Since the contribution margin is equal to total revenue minus variable costs, and fixed costs are not included in the contribution margin, the total contribution margin must equal fixed costs at the breakeven point. Therefore, the correct answer is C) fixed costs.

At the Breakeven Point, the Total Contribution Margin Equals