Exhibit 21-7 Use the Cost-Volume-Profit Graph Below to Answer the Following

Multiple Choice

Exhibit 21-7 Use the cost-volume-profit graph below to answer the following question(s) .

-Refer to Exhibit 21-7. On the cost-volume-profit graph, the area between point G, the origin of the graph, and the point at which Line B crosses the sales axis represents the:

A) Profit area
B) Total costs
C) Loss area
D) Fixed costs