If fixed costs are Rs 1,00,000, selling price is Rs 20, and variable cost is Rs 10 per unit, the Break-Even Sales in Rupees is: MCQ with Answer and Explanation

Question
If fixed costs are Rs 1,00,000, selling price is Rs 20, and variable cost is Rs 10 per unit, the Break-Even Sales in Rupees is:
A. Rs 1,00,000
B. Rs 10,000
C. Rs 2,00,000
D. Rs 50,000
Answer: Option C
Solution (By JKSSB Mock Tests)
Contribution per unit = 20 - 10 = Rs 10. BEP (Units) = 1,00,000 / 10 = 10,000 units. BEP (Sales) = 10,000 * 20 = Rs 2,00,000.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Request complete Subject PDF

Discuss this Question (0)

No comments yet. Be the first to start the discussion!

Practice More Accountancy and Book Keeping Questions

Question #1
Return of goods by a customer should be debited to:
A. Customer Account
B. Sales Account
C. Purchase Return Account
D. Sales Return (Return Inwards) Account
Discuss
Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option D

Explanation:
Goods are coming back (Debit what comes in), representing a reduction in sales revenue, handled via the Sales Return account.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Question #2
Which of the following is an indirect tax in India?
A. GST
B. Corporation tax
C. Wealth tax
D. Income tax
Discuss
Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option A

Explanation:
GST is an indirect tax on supply of goods and services.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Question #3
Working capital is calculated as:
A. Quick assets - Current liabilities
B. Current assets - Current liabilities
C. Fixed assets - Long-term liabilities
D. Total assets - Total liabilities
Discuss
Get Complete Subject PDF for Accountancy and Statistics

Correct Answer: Option B

Explanation:
Working capital = Current assets - Current liabilities.
This question belongs to: Accountancy and Statistics Accountancy and Book Keeping
Explore All Accountancy and Book Keeping MCQs
Today's Top Topics
Accountancy and Book Keeping 1861 Statistics 1318
Explore Subjects
Accountancy and Statistics 3179 Economy GK 2220 English 15164 Computer 5279 Current Affairs 575
Practice Mix
Which of the following is an indirect tax in India?
The valve between the left atrium and left ventricle is the:
A person faces north. He turns 45° left, then 90° right, then 45° left. Which direction is he facing?
Under the Income Tax Act, the 'TDS' on the sale of an immovable property (other than agricultural land) by a resident is governed by which section, and what is the rate?
In 'Piecemeal Distribution' during dissolution, the first priority for payment of outside liabilities is: