By performing acost-volume-profit analysis,EZ Rentals discovered that its operating breakeven point, QOpBEP, is at sales equal to $180,000. If EZ wants to decrease its operating breakeven point, which of the following actions should be taken? Assume everything else is equal.
A. Increase fixed operating costs.
B. Decrease sales.
C. Increase the variable operating cost ratio.
D. Decrease fixed financial costs.
E. Increase the product's contribution margin.
Answer: E
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A. 1 - 4x + 
- 
+ . . .
B. 4 - x + 
- 
+ . . .
C. 4 + 4x + 
+ 
+ . . .
D. 1 + 4x + 
+ 
+ . . .
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