ANALYSIS ACTUAL PAPER 2026 QUESTIONS
WITH SOLUTIONS GRADED A+
◉ How is break-even analysis compared? Answer: year to year
◉ What is break-even analysis used to determine? Answer: To
determine how much in additional sales are necessary to cover a
new expenditure or program.
Determine how much in additional sales are necessary to reach a
Net Profit Target
◉ Net Profit Equation Answer: Sales - Cost of Goods = Gross Profit
Margin - Variable Expenses - Fixed Expenses = Net Profit
◉ 1st step of Break-Even Analysis Answer: Gather data from Income
Statement such as sales, cost of goods, gross profit margin
◉ 2nd step of Break-Even Analysis Answer: Classify expenses as
either variable or fixed expenses
◉ Variable or Fixed Expense: security Answer: Fixed Expense