Which of the Following Is a TRUE Statement About Sales

question 46

Multiple Choice

Which of the following is a TRUE statement about sales mix?

• A)Profits may decline with an increase in total dollars of sales if the sales mix shifts to sell more of the high contribution margin product.
• B)Profits may decline with an increase in total dollars of sales if the sales mix shifts to sell more of the lower contribution margin product.
• C)Profits will remain constant with an increase in total dollars of sales if the total sales in units remains constant.
• D)Profits will remain constant with a decrease in total dollars of sales if the sales mix also remains constant.

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Definitions:

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