Which one of the following outcomes occurs at the financial break-even point? Multiple Choice О Fixed costs equal variable costs О Net present value equals zero IRR equals zero О EBIT equals zero Net income equals zero
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- 20. If Q equals the level of output, P is the selling price per unit, V is the variable cost per unit, and F is the fixed cost, then the break-even point in units is: Multiple Choice Q ÷ (P − V). F ÷ (P − V). V ÷ (P − V). F ÷ [Q(P − V)].At the breakeven point Select one: Oa Sales will be equal to variable costs plus fixed costs O b. Fixed costs will be equal.contribution margin minus varable costs Oc Fixed costs will be eoual to vanable.costs అTిbe ఇం| Mi. 31500రి910, Oe.Sales vill be equal to variable .costs plus target profitWhen output (Q) is increasing in the short run, Marginal Cost will be O decreasing O staying the same O increasing Othere's not enough information to know what is happening to MC
- QUESTION 13 Leisure is said to be a normal good if indifference curves get steeper going up a vertical line drawn through the optimal choice for the highest possible indifference curves associated with changes in: O Non-labor income All income O Labor incomesde • The most likely strategy to reduce the break-even point should be to 1. Increase fixed costs 2. Decrease selling price 3. Increase variable costs 4. Increase selling price O 1 O 2 O 3 O 4 Question 20 • In break-even analysis, which of the following is not an assumption over the relevant range 1. Unit selling price are constant 2. Unit variable costs are constant 3. Total costs are constant 4. Total fixed costs are constant O 1 O 2 O 3 04 MacBook ProTranslate the following monetary payoffs into utilities for a decision maker whose utility function is described by an exponential function with R = 250: –$200, –$100, $0, $100, $200, $300, $400, $500.
- 1. At the break-even point mon a tot misb a. Contribution margin = fixed costs b. Variable costs = fixed costs c. Sales contribution margin d. Contribution margin = 0 when erf 9925.For a upward slope yield curve, ( )exists. I forward rate II zero rate III par yieldA.I>II>III B. III> II> I C. II > I >III14. If the fixed expenses of a product increase while variable expenses and the selling price remain constant, what will happen to the total contribution margin and the break-even point? Contribution margin Break-even point A. Increase Decrease B. Decrease Increase C. Unchanged Increase D. Unchanged Unchanged Multiple Choice Choice A. Choice C. Choice B. Choice D.
- 15. If the total contribution margin increases and fixed costs do not change, then net income can be expected to a. decrease by an equal amount. b. increase by an amount equal to the increase in contribution margin times the CM ratio. c. increase by an equal amount. d. none of these.QUESTION 14 At the break-even point, O A. total cost equals total revenue O B. output equals capacity O C. total cost equals profit O D. variable cost equals total revenue O E. variable cost equals fixed cost*17.3.21 A joint-cost function is defined implicitly by the equation c+ vc = 90 + 9A9+96 where c denotes the total cost (in dollars) for producing qa units of product A and qg units of product B. (a) If qa = 4 and qB = 4, find the corresponding value of c. (b) Determine the marginal costs with respect to ga and qg when qa = 4 and qe = 4. (a) If qA = 4 and qg = 4, the corresponding value of c is (Simplify your answer.)