At the breakeven point,the total contribution margin equals total fixed costs.

Name: At the breakeven point,the total contribution margin equals total fixed costs.
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Question

Quizplus · Accepted Answer

At the breakeven point, a company is not making any profit or loss. This occurs when the total contribution margin, which is the difference between sales revenue and variable costs, is equal to total fixed costs. Therefore, the statement is true that at the breakeven point, the total contribution margin equals total fixed costs.

At the Breakeven Point,the Total Contribution Margin Equals Total Fixed