BREAK EVENT POINT

SALES = ................. + Fixed Cost + Profit

• Contribution Rate

• Salary

• Variable Rate

• Variable Cost

Variable Cost = Cost of Sales + .................

• Salary

• Wages

• Employee Benefits

• Labor (40%)

FIXED COSTS = Labor (60%) +................+ Occupancy Cost + Interest + depreciation

• Contribution Rate

• Benefit

• Other Controllable Costs

• Variable Rate

VARIABLE RATE is the ratio of ............ to dollar sales. It is usually expressed in decimal form.

• Labor

• Contribution Costs

• Benefit Costs

• Variable Costs

The contribution Rate is determined by ............... the Variable Rate from 1.

• multiplicating

• divising

• substracting

• additing

The Break Even Point is defined as the point at which the sum of all costs equals sales, so that profit equals ........

• 3

• 2

• 1

• 0

Contribution Margin = - Variable costs of that item.

• Total Sales

• Benefit

• Selling Price

• Fixed Costs