What Is the Accounting Break-Even Level of Revenues for a Firm

question 19

Multiple Choice

What is the accounting break-even level of revenues for a firm with $6 million in sales,variable costs of $3.9 million,fixed costs of $1.2 million,and depreciation of $1 million?

• A) $3,428,571
• B) $6,100,000
• C) $6,285,714
• D) $6,557,377

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Definitions:

Regression Line

A line that best fits the data points on a scatter plot, showing the relationship between the independent and dependent variables.

Regression Analysis

A statistical method for investigating and modeling the relationship between variables, often between one dependent and one or more independent variables.

Dependent Variable

A variable in scientific research or statistical analysis that changes in response to the variation of an independent variable.