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If fixed cost is 50000 and contribution margin percentage is 20...

This question belongs to Management Management Accounting
Management Accounting
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If fixed cost is $50000 and contribution margin percentage is 20%, then breakeven revenue will be

Answer & Solution
Correct Answer: Option C
Breakeven revenue = Fixed cost ÷ Contribution margin percentage
= $50000 ÷ 20% = $250,000.
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