You are planning to open a new restaurant and need to determine how many dinners need to be sold to stay above the break-even point. You will investigate Cost Volume Profit (CVP), also known as break-even analysis.
-The data table provides the results of several what-if analyses,but results are often clearer if you include a(n)_______ chart.
A)Excel
B)CVP
C)Goal Seek
D)Income

Question

Quizplus · Accepted Answer

A CVP (Cost Volume Profit) chart is the best choice for analyzing break-even points as it visually displays the relationship between sales volume, costs, and profits. It helps to determine the point at which revenues equal expenses, and where net income is zero. Excel could be used to create the CVP chart, but it is not the same as the chart type itself. Goal Seek and Income are not relevant options for creating the needed chart.

You Are Planning to Open a New Restaurant and Need