Once a Firm Reaches the Breakeven Point, the Next Unit

question 144

Multiple Choice

Once a firm reaches the breakeven point, the next unit sold will increase profit by an amount equal to the:

• A) Selling price per unit
• B) Variable cost per unit
• C) Contribution margin per unit
• D) Difference between contribution margin and fixed costs

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Definitions:

Winning Contract

A successful agreement or deal achieved after a competitive process or negotiation.

Emotional Intelligence

The ability to understand, manage, and express one's own emotions, as well as to engage in interpersonal interactions with wisdom and empathy.

Components

The constituent parts or elements that make up a system, machine, or device.

Describe

To give a detailed account or picture of something in words, including its characteristics, qualities, or events.