If total assets equal $600,000 and total liabilities equal $400,000, then owners equity equals $1,000,000.

TRUE OR FALSE

The stock investment in other firms would be classified as owners equity.

TRUE OR FALSE

If the selling price is increased and all other components of the breakeven calculation remain constant, the breakeven point will decrease.

TRUE OR FALSE

If fixed costs are $600,000, the selling price is $10/unit and the variable cost is $6/unit, then breakeven in dollars is:

$1,000,000

$1,5000,000

None of the above

(the formula is fixed costs divided by (1.0- variable costs as a proportion of net sales)