Asked by
Tayseer Afifi
on Nov 02, 2024
Verified
The method of determining the minimum sales volume needed at a certain price level to cover all costs is
A) market share analysis.
B) equilibrium pricing analysis.
C) return on sales analysis.
D) breakeven analysis.
Breakeven Analysis
The calculation to determine the sales volume at which a business neither makes a profit nor incurs a loss.
Minimum Sales Volume
The lowest quantity of sales that a company needs to achieve within a specific period to cover its direct and indirect costs.
Sales Volume
The total quantity of products or services sold by a company within a specific period of time.
- Implement breakeven analysis to find out the sales volume that will cover all expenses.
Verified Answer
SM
Learning Objectives
- Implement breakeven analysis to find out the sales volume that will cover all expenses.