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Problem 1: Which of the following is an equation to determine the break-even point (BEP) in units?
a. BEP = variable cost / (fixed cost - selling price per unit)
b. BEP = fixed cost / (selling price per unit - variable cost per unit)
c. BEP = variable cost / (selling price per unit - fixed cost)
d. BEP = fixed cost / selling price per unit - variable cost per unit)
Problem 2: Which of the following variables is considered random or probabilistic?
a. last year's advertising budget
b. future interest rates
c. last week's sales data
d. historical stock prices
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