break-even point (BEP)= [__________ ÷ (Unit price − Unit variable cost)].
A) Total cost
B) Total expense
C) Fixed cost
D) Unit variable cost
E) Total number of units produced or quantity

Question

Quizplus · Accepted Answer

The break-even point (BEP) is calculated by dividing the fixed costs by the difference between the unit price and the unit variable cost. This formula helps determine the number of units that must be sold to cover all fixed and variable costs.

Break-Even Point (BEP)= [__________ ÷ (Unit Price − Unit Variable