Dick Sports,Inc What Is Dick's Breakeven Point in Dollars?
A) $100,000
B)

question 109

Multiple Choice

Dick Sports,Inc.'s,income statement data for last year is as follows: $$\begin{array} { l r } \text { Sales revenue } & \$ 200,000 \\\text { Variable costs } & 140,000 \\\text { Fixed costs } & 30,000 \\\text { Operating income } & 18,000 \\\end{array}$$ What is Dick's breakeven point in dollars?

• A) $100,000
• B) $18,000
• C) $142,000
• D) $48,000

---

Definitions:

Letter of Credit

A financial document issued by a bank guaranteeing a buyer's payment to a seller in a transaction, effective in international trade.

Covenants

A promise by the firm, included in the debt contract, to perform certain acts. A restrictive covenant imposes constraints on the firm to protect the interests of the debtholder.

Payables

Short-term liabilities or money owed by a company to suppliers or creditors for goods and services received.

Rebate

A partial refund to someone who has paid too much money for tax, rent, or a utility, or an incentive payment to induce a particular purchase or behavior.