The Break-Even Point (BEP) = [Fixed Cost ÷ (Unit Price

question 77

Multiple Choice

The break-even point (BEP) = [Fixed cost ÷ (Unit price − ________) ].

• A) Total cost
• B) Total expense
• C) Marginal revenue
• D) Unit variable cost
• E) Total number of units produced or quantity

---

Definitions:

Inventory Turnover

A ratio that shows how many times a company has sold and replaced its inventory over a certain period, indicating efficiency in managing stock.

Year 2

Year 2 commonly refers to the second year of a particular context, such as a company's operations, a multi-year study, or an educational program.

Inventory Turnover Ratio

A financial efficiency ratio that shows how many times a company has sold and replaced inventory over a period.

Days' Sales

A measure of how quickly a company can convert its inventory into sales, often used to assess liquidity and operational efficiency.