When Sales Are $1,000, the Contribution Margin Is $600 and a Pre-Tax

question 147

Multiple Choice

When sales are $1,000, the contribution margin is $600 and a pre-tax loss of $60 occurs. What is the breakeven point in dollars?

• A) $833
• B) $1,100
• C) $1,167
• D) $1,750

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Definitions:

Emotional Response

The psychological and physiological reactions that occur in response to an external stimulus, driven by feelings and emotions.

Gate Theory

A theory proposing that there are "gates" in the spinal cord that either allow or block pain signals from reaching the brain, thus affecting our perception of pain.

Spinal Cord

The cylindrical bundle of nerve fibers and associated tissue that is connected to the brain at the brainstem and runs down the back, encased in the spinal column.

Sensation

Sensation is the process by which sensory receptors and the nervous system receive and represent stimuli from the environment, serving as the foundation for perception.