are president of a manufacturer of small electric appliances.You want to reduce your break-even quantity.All things being equal,you can do this by

Question

Quizplus · Accepted Answer

Reducing the unit variable cost will decrease the break-even quantity. This can be achieved by negotiating cheaper raw material costs or streamlining the manufacturing process to reduce labor costs or energy expenditures. Increasing fixed costs or total costs would have the opposite effect and increasing the quantity sold or reducing marginal revenue may not be feasible or profitable. Therefore, reducing unit variable cost is the best choice to achieve the desired outcome.

Are President of a Manufacturer of Small Electric Appliances