If Fixed Costs Rise While Other Variables Stay Constant

question 93

Multiple Choice

If fixed costs rise while other variables stay constant

• A) the break-even point rises.
• B) degree of operating leverage increases.
• C) total profit declines.
• D) all of the other answers are correct

---

Definitions:

Perceptual Adaptation

The ability of the body to adjust to an environment by filtering distractions.

Perceptual Constancy

The psychological phenomenon that allows us to perceive objects as unchanging despite changes in sensory input.

Interposition

A visual cue in which one object partially blocks another, suggesting depth perception.

Sensory Interaction

The principle that one sense can influence or interact with another; the interaction of the senses to enhance the perception of the world.