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Which of the Following Formulas Is Used to Calculate the Breakeven

Question 22

Multiple Choice

Which of the following formulas is used to calculate the breakeven point in sales dollars?


A) Total fixed costs divided by contribution margin per unit.
B) Total fixed costs divided by total contribution margin.
C) Total fixed costs divided by contribution margin ratio.
D) None of these formulas calculates the breakeven point in sales dollars.

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