Biologists Might Have Been Able to Predict That Raising Lobsters

question 48

Multiple Choice

Biologists might have been able to predict that raising lobsters in captivity would be unsuccessful; once a lobster

• A)molts it becomes defenseless and a prey item for other lobsters.
• B)reaches marketable size the cost of feeding it exceeds its sales value.
• C)reaches sexual maturity they quit feeding, lose weight, and search for mates.
• D)molts its flavor and texture make it almost unpalatable.

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Definitions:

Break-even Sales

The amount of revenue from sales needed to cover all of a company’s operating expenses, resulting in neither profit nor loss.

Unit Variable Costs

The costs that vary directly with the production volume, including materials and labor, on a per unit basis.

Break-even Point

The point at which total revenues equal total costs, resulting in no profit or loss.

Break-even Sales

The amount of sales revenue needed to cover all fixed and variable costs, leading to a situation where there is no profit or loss.