Where Is the Break-Even Point on a Cost-Volume-Profit Graph

question 74

Multiple Choice

Where is the break-even point on a cost-volume-profit graph?

• A) at the intersection of the revenue line and the profit line
• B) at the intersection of the revenue line and the total cost line
• C) at the intersection of the fixed cost line and the variable cost line
• D) at the intersection of the contribution margin line and the fixed cost line

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Definitions:

Electrical Signals

Variations in electric currents or electromagnetic fields used to convey information between components or systems.

On/Off Control

A simple form of control using binary signals to activate or deactivate devices, without intermediate states.

Measured Variable

A specific quantity or condition that is monitored and measured in a process, such as temperature, pressure, or flow rate.

Set Point

The desired or target value for a controlled variable in a control system, against which actual values are compared to determine the need for corrective action.