A Weakness of Break-Even Analysis Is That It Assumes

question 90

Multiple Choice

A weakness of break-even analysis is that it assumes:

• A) revenue and costs are a linear (constant)function of volume.
• B) prices and costs increase when the economy is strong and confidence is high.
• C) cost of goods sold goes up as revenue increase.
• D) there is no weakness.

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Definitions:

NOC Outcome

Represents a measurable patient, family, or community state, behavior, or perception that is measured along a continuum in response to nursing interventions.

Distorted Thought

A cognitive process characterized by irrational, exaggerated, or pessimistic perceptions and interpretations of events or interactions.

Maslow's Hierarchy

A theory in psychology proposed by Abraham Maslow in his 1943 paper "A Theory of Human Motivation," which outlines a five-tier model of human needs, arranged in a hierarchy from basic (physiological) to more complex (self-actualization) needs.

Physiological Need

Fundamental requirements necessary for maintaining life and physical health, such as food, water, air, and shelter.