What Is One Disadvantage of Break-Even Analysis

question 163

Multiple Choice

What is one disadvantage of break-even analysis?

• A)It cannot be used to determine the break-even point in dollars.
• B)It is not helpful for evaluating what might happen to profits in different market environments.
• C)It does not consider the effect of price on the quantity that consumers will want.
• D)It is not helpful for evaluating alternatives.
• E)It is an extremely complicated method.

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Definitions:

Tetrapods

Four-limbed vertebrates: the amphibians, reptiles, birds, and mammals.

Actinopterygii

Actinopterygii, commonly known as ray-finned fishes, constitute a class of bony fishes characterized by the radiating structure of their fins, which are supported by bony spines.

Flexible Fins

Adaptations in aquatic organisms allowing for maneuverability, stability, and propulsion in water.

Temporal Openings

Temporal Openings are large gaps or spaces in the skulls of some vertebrates, allowing for the attachment of jaw muscles thus facilitating movement and strength.