Break-even Point

If you have difficulty answering the following questions, learn more about this topic by reading our Explanation of Break-even Point.

The following questions pertain to the Statements of Accounting Financial Standards (SFAS), which are issued by the Financial Accounting StandardsBoard (FASB). You can read the the pronouncements on the FASB's website www.FASB.org.

NOTE: To see each answer, place your cursor in the middle of the cell under "Unscrambled Answer".

	Word Clue	Scrambled Answer	Unscrambled Answer
1.	The break-even point occurs where total ___________ are equal to total costs.	UNSEVERE	REVENUES
2.	Revenues minus variable costs equals the _________________ margin.	OBITUNRNITOC	CONTRIBUTION
3.	Costs and expenses which do not change in __________ when there is a change in volume are considered to be fixed.	LOATT	TOTAL
4.	Costs and expenses that change proportionately with the change in volume are said to be ______________.	ARELIABV	VARIABLE
5.	The break-even point in _________ uses the contribution margin per unit.	SUITN	UNITS
6.	When calculating a product's break-even point in dollars, the denominator is the contribution margin __________.	TORIA	RATIO
7.	When calculating a product's break-even point in dollars or in units, the numerator is __________ costs.	XDIEF	FIXED
8.	A cost that is partly fixed and partly variable is referred to as a ____________ cost.	DIMEX	MIXED
9.	The "V" in CVP.	LEMOVU	VOLUME
10.	The excess of sales over the break-even point is the margin of ___________.	YEFAST	SAFETY