Last year Easton Corporation reported sales of $890,000, a contribution margin ratio of 40% and a net loss of $41,000. Based on this information, the break-even point was: Multiple Choice $992,500 $931,000 $1,095,000 $787,500

Last year Easton Corporation reported sales of $890,000, a contribution margin ratio of 40% and a net loss of $41,000. Based on this information, the break-even point was: Multiple Choice $992,500 $931,000 $1,095,000 $787,500

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Last year Easton Corporation reported sales of $890,000, a contribution margin ratio of 40% and a net loss of $41,000. Based on this information, the break-even point was:

Multiple Choice

$992,500
$931,000
$1,095,000
$787,500

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