If a break-even analysis produces neutral results,what impact is expected on the utility?

Question

Quizplus · Accepted Answer

A break-even analysis is an evaluation of the level of sales or productivity required to cover all costs, implying that the costs are equaled by revenues. Therefore, it produces neutral results, indicating that the business is neither profitable nor unprofitable. Since utility refers to the satisfaction or benefit derived from a good or service, a neutral outcome on break-even analysis implies that its utility is zero. Hence, the best answer is (B) utility is zero.

If a Break-Even Analysis Produces Neutral Results,what Impact Is Expected