In Step 2 of Breakeven Analysis,plot the ______ on the Vertical

question 39

Multiple Choice

In Step 2 of breakeven analysis,plot the ______ on the vertical axis and the ______ on the horizontal axis.

• A)fixed costs,variable costs
• B)total costs,annual production volume
• C)annual production volume,variable costs
• D)variable costs,fixed costs

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Definitions:

Equivalent Units

A concept used in cost accounting to convert partially completed goods into a number of completed units for inventory valuation.

Production Department

The division within a business that is charged with the manufacture of goods or the provision of services.

Materials Consumed

The direct raw materials used in the production process during a specific period.

Conversion Costs

Expenses incurred during the transformation of raw materials into finished products, including labor and overhead.