To the left of the breakeven point on a CVP graph, the area between the total expense line and the sales revenue line represents which of the following?

Question

Quizplus · Accepted Answer

To the left of the breakeven point, the total expenses are higher than the sales revenue, resulting in an operating loss. Therefore, the area between the total expense line and the sales revenue line represents operating loss.

To the Left of the Breakeven Point on a CVP