Question

    In break even analysis chart, Y-axis

    represents:
    A Volume of sales in unit Correct Answer Incorrect Answer
    B Value of sales in rupees Correct Answer Incorrect Answer
    C Cost and sales in rupees Correct Answer Incorrect Answer
    D Volume of production in units Correct Answer Incorrect Answer
    E Value of production in rupees Correct Answer Incorrect Answer

    Solution

    Break-even chart shows the relationship between cost and sales and indicates profit and loss on different quantities on the chart for analysis where the horizontal line shows the sales quantity and the vertical line shows the total costs and total revenue and at the intersection point it is a breakeven point which indicates no profit and no loss at given quantity.

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