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Revenue: The Break-Even Point

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Winny's Office Furniture has a contribution margin ratio of 16%. If fixed costs are $187,800, how many dollars of revenue must the company generate in order to reach the break-even point?

© BrainMass Inc. brainmass.com September 23, 2018, 1:56 pm ad1c9bdddf - https://brainmass.com/economics/finance/revenue-breakeven-contribution-margin-ratio-576185

Solution Summary

Use contribution margin ratio to find the break-even point.

$2.19