Which of the Following Mathematical Equations Represents the Operating Breakeven

question 65

Multiple Choice

Which of the following mathematical equations represents the operating breakeven point, QOpBEP, for a firm?

• A)Sales = Gross profit margin
• B)Sales = Total variable costs + Total fixed costs
• C)Total operating costs = Total variable costs + Total contribution margin costs
• D)Total operating costs = Contribution margin
• E)Contribution margin = Earnings before interest and tax

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Definitions:

Market Control

The ability of a company or group to influence or direct the behavior of the market, usually by dominating supply, price, or innovation.

Bureaucratic Control

A system of managing an organization through a formalized set of rules and procedures, ensuring standardization and consistency across operations.

Customer Feedback

The information, insights, and input that a business receives from individuals who use its products or services, which can be used for improvement and growth.

Sales And Profitability

measures of the effectiveness of a company's operations; where sales refer to the revenue from goods or services sold, and profitability is the extent to which this revenue exceeds the costs incurred.