The Contribution Margin at the Break-Even Point

question 26

Multiple Choice

The contribution margin at the break-even point

• A)equals total fixed costs.
• B)is zero.
• C)plus total fixed costs equals total revenues.
• D)is greater than variable costs.

---

Definitions:

Sensor Division

A specialized business unit within a company focused on the development, production, and marketing of sensor technologies.

Safety Products Division

A designated unit within an organization focusing on the development, production, and distribution of safety-related products.

Transfer Price

The price at which goods or services are traded between departments within the same company or between subsidiaries.

Transfer Price

The price at which goods or services are sold between departments or subsidiaries within the same organization.