A break-even chart refers to a
A)graphic presentation relating the quantity sold and price, which shows the maximum number of units that will be sold at a certain price.
B)graphic presentation of the break-even analysis that shows when total revenue and total cost intersect to identify profit or loss for a given quantity sold.
C)graphic presentation relating variable costs in terms of product or service substitutes in order to determine which items or services would least affect total revenues.
D)graphic presentation relating profits and revenues versus total costs in order to determine the time frame in which a company could achieve profitability.
E)graphic presentation in the form of a scatter graph used to identify specific activities or items that are creating the greatest return on investment.

Question

Quizplus · Accepted Answer

A break-even chart is a graphic presentation of the break-even analysis that shows when total revenue and total cost intersect to identify profit or loss for a given quantity sold. It helps in determining the minimum quantity that needs to be sold at a certain price to cover all the costs associated with production and sales. This chart is useful in making pricing and production decisions.

A Break-Even Chart Refers to a