Once the Break-Even Point Is Reached

question 153

Multiple Choice

Once the break-even point is reached:

• A) the total contribution margin changes from negative to positive.
• B) net operating income will increase by the unit contribution margin for each additional item sold.
• C) variable expenses will remain constant in total.
• D) the contribution margin ratio begins to decrease.

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Definitions:

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Random Access Memory, a form of computer memory used to store data temporarily that is being currently used or processed.

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