Select the Correct Statement Regarding Break-Even Point Analysis

Multiple Choice

Select the correct statement regarding break-even point analysis.

A) The break-even point in sales dollars equals total fixed costs divided by contribution margin per unit.
B) An increase in fixed costs causes the break-even point to increase.
C) An increase in contribution margin per unit causes the break-even point in units to increase.
D) A decrease in the variable cost per unit causes the break-even point in units to increase.