When calculating the break-even point in a multi-product environment, which of the following statements is false?

Question

Quizplus · Accepted Answer

In a multi-product environment, it is unlikely that each product will count for an equal percentage of total sales. Each product may have a different contribution margin per unit and different variable costs, leading to varying sales volumes and a different percentage contribution to total sales. Therefore, assumption C is false. The other options are true and necessary when calculating the break-even point in a multi-product environment.

When Calculating the Break-Even Point in a Multi-Product Environment, Which