The quantity of manufactured goods are sold at which the total cost equal, is known as _____________?
Correct answer: A. breakeven point
- A. breakeven point
- B. cost point
- C. revenue point
- D. quantity point
Explanation
The break-even point is the level of sales or production at which total revenue equals total cost. At this point, operating profit is zero.
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About Cost Accounting
Cost accounting measures and analyses the cost of producing goods or providing services for planning, control and pricing decisions. It covers direct and indirect costs, fixed and variable costs, job and process costing, break-even analysis, marginal costing, overhead allocation, and the difference between product cost and period cost.
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