Break even Flashcards
1
Q
what is break even
A
business don’t gain a profit or a loss
total revenue = selling price
2
Q
how to calculate break-even
A
selling price per unit - variable cost per unit
3
Q
on a break even graph the fixed cost ….
A
is the straight line as a fixed cost do not change even when products are sold
4
Q
on a beak even graph the total cost ….
A
is where the line starts where the fixed cost line does cant be lower than the fixed cost
5
Q
on a break even graph the sales revenue ….
A
is here the line starts at 0 because is you don’t sell a product you make no revenue