Question

The break-even volume for a company is ________.

A) fixed plus variable expenses minus sales

B) fixed expenses divided by margin per unit

C) company sales divided by industry sales

D) operating income minus fixed expenses

E) operating income plus fixed expenses divided by margin per unit

Answer 1

The break-even volume for a company can be calculated using the formula: Total fixed expenses divided by the margin per unit of the company.

Step-by-step explanation:

The break-even volume for a company can be calculated using the formula:

Total fixed expenses divided by the margin per unit of the company.

This formula helps determine the quantity of units a company needs to sell in order to cover all its fixed expenses and break even without incurring any profit or loss.