Term
After the level of volume exceeds the break-even point?
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Definition
| The total contribution margin exceeds the total fixed costs |
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Term
| The Margin of Safety is a key concept of CVP analysis. The margin of safety is the _____? |
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Definition
| difference between actual or budgeted sales and break-even sales. |
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Term
| At the break-even point fixed costs are always? |
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Definition
| equal to the Contributin Margin CM |
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Term
| To compute the break-eve point in units, what formula do you use? |
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Definition
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Term
| The Margin of safety would be negative if a company |
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Definition
| was currently operating at a volume that is below the break-even point |
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