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breakeven

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › breakeven

  • This topic has 1 reply, 2 voices, and was last updated 4 years ago by John Moffat.
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  • November 5, 2021 at 8:26 am #639964
    Natasha1996
    Participant
    • Topics: 41
    • Replies: 25
    • ☆☆

    If the more profitable products are sold first, this means that the company will cover its fixed costs quickly and as such, the breakeven point will be reached earlier (i.e. fewer sales will need to be made in order to breakeven so the breakeven point will be lower).

    Is that correct?

    November 5, 2021 at 9:39 am #639985
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54809
    • ☆☆☆☆☆

    That is correct 🙂

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