Problem

Question 6 (1 point) Which of the following factors would cause the break-evenipoint to change? Fixed operating costs increased due to an increase in rent. Increased sales volume. Total variable costs increased as a function of higher production. Total production decreased. All of the above. None of the above. Next Page Page 6 of 10

Solution

Step 1 :The question is asking which factors would cause the break-even point to change. The break-even point is the point at which total cost and total revenue are equal, meaning there is no net loss or gain. It is calculated by dividing the fixed costs by the contribution margin ratio. Therefore, any factor that changes the fixed costs, the variable costs, or the sales volume could potentially change the break-even point.

Step 2 :Final Answer: \(\boxed{\text{All of the above}}\).

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