Question: 1. Two companies within the same industry had the same sales, total costs, and operating income for the current fiscal year. However, Company A had

1. Two companies within the same industry had the same sales, total costs, and operating income for the current fiscal year. However, Company A had a lower break-even point than Company B. Explain how this could happen.

2. Explore the different types of costs as explained in the chapter. Are fixed costs controllable? What would happen if the insurance rates on your business were to increase? How would that impact the break-even point?

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