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Business, 18.02.2020 20:04 Jwhite8602
You have a colleague who swears by using breakeven analyses. He or she has not been on the job long enough to be able to understand the reasons why this tool isn't always reliable.
Which of the following reasons should you share with him or her?
a. The company's accounting system does not clearly distinguish between fixed and variable costs.
b. Breakeven analysis is outdated.
c. Not everyone in the company understands or uses breakeven analyses.
d. Breakeven analysis is hard to calculate; and it is difficult to explain how the results are derived.
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Answers: 2
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You have a colleague who swears by using breakeven analyses. He or she has not been on the job long...
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