The formula for break-even point sales in dollars is:

Question

Quizplus · Accepted Answer

The formula for break-even point sales in dollars is (FC + Profit) / CM%, where FC is the fixed costs, CM% is the contribution margin percentage, and Profit is the desired profit. This formula takes into account both the fixed and variable costs and the desired profit level to determine the amount of sales necessary to break even or achieve a target profit level. Therefore, option D is the best choice as it considers all the relevant factors that influence the break-even point sales in dollars.

The Formula for Break-Even Point Sales in Dollars Is