Identify a Disadvantage of Break-Even Analysis

question 240

Multiple Choice

Identify a 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:

Body Movement

The physical motions or gestures used to convey messages or emotions in non-verbal communication.

Unintentional Message

An unintentional message is a communication that conveys a meaning or sentiment not deliberately intended by the sender, often leading to misunderstandings.

Gesture

A movement of the body, especially the hands or head, used to express an idea or feeling or to communicate nonverbally.

Nonverbal Communication

The transmission of messages or signals through a non-linguistic means, such as body language, facial expressions, and gestures.