In a graphical presentation of break-even analysis,loss occurs to the _____ of the BEP.

Question

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In a break-even analysis graph, the left side represents units or sales revenue that are below the break-even point. This indicates a loss because the company is not able to cover its fixed and variable costs with its sales revenue. The break-even point is located where the cost and revenue lines intersect, and beyond that point (to the right), the company is making a profit.

In a Graphical Presentation of Break-Even Analysis,loss Occurs to the _____