Which One of the Following Calculates the Break-Even Point in Units

question 42

Multiple Choice

Which one of the following calculates the break-even point in units?

• A)Divide total fixed costs by the contribution margin per unit.
• B)Divide fixed cost per unit by the contribution margin per unit.
• C)Divide total contribution margin by the number of units sold.
• D)Divide total fixed costs by the contribution margin ratio.

---

Definitions:

Testable Propositions

Statements or hypotheses that can be empirically tested through observation or experimentation to evaluate their validity.

Principles

Fundamental truths or propositions that serve as the foundation for a system of belief or behavior or for a chain of reasoning.

Behavioral Predictions

The process of forecasting individual or group behaviors based on past actions, trends, or patterns.

Overconfidence

The tendency to hold too strong a belief in one's own abilities, judgments, or predictions, often leading to errors or mistakes.