All Else Being Equal,what Happens to the Unit Contribution Margin

question 83

Multiple Choice

All else being equal,what happens to the unit contribution margin and the contribution margin ratio if the sales price per unit increases?

• A)Both unit contribution margin and contribution margin ratio increase.
• B)Both unit contribution margin and contribution margin ratio decrease.
• C)Unit contribution margin increases while contribution margin ratio decreases.
• D)Unit contribution margin decreases while contribution margin ratio increases.

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