If a Company Sells a Single Product and the Selling

question 189

Multiple Choice

If a company sells a single product and the selling price per unit and the variable cost per unit both increase by 5% while fixed costs remain the same, then contribution margin

• A)per unit increases and breakeven in units increases.
• B)per unit increases and breakeven in units decreases.
• C)remains the same and breakeven in units increases.
• D)decreases and breakeven in units decreases.

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Definitions:

Post-Conventional

A stage in Kohlberg's theory of moral development where individuals make decisions based on universal principles and the rights of others.

Morality

Principles concerning the distinction between right and wrong behavior and the goodness or badness of human character.

Cognitive Faculties

Mental abilities or processes that are part of the human mind, such as perception, reasoning, judgement, and memory.

Health Care Proxy

A legal document that designates a person to make medical decisions on behalf of someone who is unable to do so.