The point at which the costs of producing a product equal the revenue earned from selling the product is
A) elasticity of demand.
B) the breakeven point.
C) variable costs.
D) price elasticity.
E) the sum of fixed and variable costs.

Question

Quizplus · Accepted Answer

The point at which the costs of producing a product equal the revenue earned from selling the product is called the breakeven point. This is important for businesses to know so they can determine how many units they need to sell to cover their costs and begin making a profit.

The Point at Which the Costs of Producing a Product