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What is the Break Even Point?

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What is the Break Even Point?

(a) Uc = \(\frac{Fc}{x}\)*Ox

(b) Uc = \(\frac{Fc}{x}\)+Ox

(c) Uc = \(\frac{Fc}{x}\)-Ox

(d) Uc = Fc*x*Ox

This question was addressed to me in an online quiz.

Asked question is from Disc Plough in portion Tillage, Disc Plough & Numericals of Farm Machinery

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Right option is (b) Uc = \(\frac{Fc}{x}\)+Ox

For explanation I would say: When a common variable affects the cost of two methods, the value of variables at which the cost of use for both the method will be equal. This value of variable is known as break-even point. At break-even point unit cost of operation of big and small machine will be same.

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