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Management · Q234

Management Accounting

Graduate and Post Graduate · Management · question 234

Q234

If fixed cost is 30000, contribution margin percentage is 40%, then breakeven revenue will be

A.
$120,000
B.
$75,000
Answer
C.
$12,000
D.
$175,000

Answer: Option B

Solution

Answer: Option B
Solution:
Breakeven revenue = Fixed cost × Contribution margin percentage
= 75,000.
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