Which of the following is called minimum point of production at which totalcost is recovered:Select one:O a. Margin of safetyO b. Contribution marginc. Fixed costO d. Break-even point

Total cost recovery is the point under which the entity does not make any profit or loss That is…

Answered: Which of the following is called…

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Which of the following is called minimum point of production at which total cost is recovered:

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter6: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 4DQ

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Concept explainers

Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.

Question

Which of the following is called minimum point of production at which total
cost is recovered:
Select one:
O a. Margin of safety
O b. Contribution margin
c. Fixed cost
O d. Break-even point

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calculate contribution margin ratio, breakeven point in amount and breakeven point in units