Instructions: Explain/Define the Following Terms

question 1

Essay

Instructions: Explain/Define the following terms.
varn a/jati

Explain the purpose of controlling and its significance in achieving organizational objectives.

Apply the concept of corrective action based on the comparison of actual performance against standards.

Differentiate between various performance comparison approaches (relative, engineering, historical).

Recognize the significance of setting appropriate performance standards and objectives.

---

Definitions:

Break-Even Point

The production level or sales volume at which total revenues equal total expenses, resulting in neither profit nor loss.

Fixed Costs

Expenses that do not change with the level of goods or services produced by a business, such as rent, salaries, and insurance.

Contribution Per Unit

The amount of revenue from each unit sold that contributes to covering fixed costs and generating profit.

Fixed Costs

Expenses that do not change with the level of production or sales, such as rent, salaries, or insurance premiums.