AMA Exam PCM Topic 8 Question 5 Discussion

Actual exam question for AMA's PCM exam

Question #: 5
Topic #: 8

What does the break-even point refer to in a break-even analysis?

AIt refers to the number of product units sold at which point both loss and profit are zero.

BIt refers to the point at which the fixed costs curve intersects the variable costs curve.

CIt refers to the required number of products that should sell for the profit to equal the fixed costs.

DIt refers to the point at which the variable costs start increasing over fixed costs.

EIt refers to the point at which the total costs are equal to the profit generated.

Show Suggested Answer

Suggested Answer: A

by Portia at May 03, 2022, 06:25 AM

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