The Level of Operations at Which a Business's Revenues and Expired

question 185

Multiple Choice

The level of operations at which a business's revenues and expired costs are exactly equal is called:

• A) break-even point
• B) break-even point sales
• C) break-even cost
• D) break-even analysis

---

Definitions:

Acceptable Results

Outcomes of a process, project, or test that meet predefined criteria or standards deemed satisfactory by stakeholders or regulatory bodies.

Target Costing

A pricing strategy in which a product’s selling price is set first based on market conditions, and then costs are managed to meet that price.

Operating Profit

The profit earned from a firm's core business operations, excluding deductions of taxes and interest.

Selling Price

The amount of money that a buyer pays to purchase a product or service from a seller.