Explanation:

The break-even point is the point at which total revenue equals total costs, resulting in zero profit or loss. It is the level of sales or production at which a company neither makes a profit nor incurs a loss. Lowering the break-even point means reducing the amount of sales or production required to cover all costs.

Factors Affecting Break-Even Point:

There are several factors that can affect the break-even point, and these include both fixed costs and variable costs.

1. Fixed Costs:
- Fixed costs are expenses that do not change with the level of production or sales.
- Examples of fixed costs include rent, salaries, insurance, and depreciation.
- Increasing fixed costs would raise the break-even point because more sales or production would be required to cover these higher costs.

2. Variable Costs:
- Variable costs are expenses that change in proportion to the level of production or sales.
- Examples of variable costs include raw materials, direct labor, and utilities.
- Increasing variable costs would raise the break-even point because more sales or production would be required to cover these higher costs.

3. Slope of the Income Line:
- The slope of the income line represents the profit margin per unit of sales.
- A steeper slope indicates a higher profit margin, while a flatter slope indicates a lower profit margin.
- Decreasing the slope of the income line would lower the break-even point because it means that less sales or production would be required to achieve the same level of profit.

4. Reducing Variable Costs:
- Reducing variable costs would lower the break-even point because it means that less sales or production would be required to cover these lower costs.
- This can be achieved through various means such as negotiating better prices with suppliers, improving operational efficiency, or finding alternative raw materials.

Conclusion:

Out of the given options, reducing the variable cost (Option D) is the correct answer to lower the break-even point. By reducing variable costs, a company can achieve a lower break-even point, meaning that it would require fewer sales or production to cover its costs and start making a profit.