Which of the following is true of breakeven analysis?Group of answer choicesA company has broken even when its total sales or revenues equals a third of its expenses.A company has broken even when its total sales or revenues equal half its total expenses.A breakeven analysis is a marketing tool used to predict demand.A breakeven analysis determines the sales volume a company needs to make a profit. PreviousNext

The breakeven point is the point at which:a.Costs exceed revenuesb.Revenues exceed costsc.Profits reach their maximum leveld.No profit or loss is incurred

breakeven analysis

Which of the following statements are correct to describe the Break Even Point Analysis?1) If the Break Even Point is expressed in terms of production capacity rate (%), a larger Break Even Point implies a lower project risk.2) The Break Even Point should be calculated based on the normal year after the project commissioning, instead of the average value within the period.3) The relationship between the Break Even Point expressed in terms of production capacity rate (BEP(%)) and the Break Even Point expressed in terms of quantity (BEP(Q)) is: BEP(Q)=BEP(%) × Design Production Capacity4) Break-even point analysis is suitable for financial evaluation onlyQuestion 10Select one:a.1,2,3b.2,3,4c.1,2,3,4d.3,2,1

How does Break-even Analysis help entrepreneurs?

The intersection point of the total cost and revenue lines represent in breakeven analysis shows Maximum profit Breakeven point Fixed cost  Variable cost