A company's break-even point is 5,000 units, and the president sets a profit objective. What will the company need to do to realize the objective?

Question

Quizplus · Accepted Answer

To realize a profit objective beyond breaking even, a company must sell more than its break-even point, which in this case is 5,000 units. Selling more than the break-even volume ensures that the company covers all its fixed and variable costs and generates profit.

A Company's Break-Even Point Is 5,000 Units, and the President