The Contribution Margin Per Unit Will Change When

question 152

Multiple Choice

The contribution margin per unit will change when

• A)fixed costs increase by 5%.
• B)a company increases the price of its product by 5%.
• C)the company's sales volume increases by 5%.
• D)fixed costs per unit decline.

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Definitions:

Expectancy Theory

A motivation theory stating that individuals are motivated to act in a certain way based on the expectation that their action will lead to a desired outcome.

Organizational Rewards

Incentives or benefits provided by an organization to its employees as a form of recognition for their contributions or performance.

Equal Pay

The legal and ethical principle that individuals should receive equal payment for work of equal value, regardless of gender, ethnicity, or other discriminatory factors.

Equal Value

The concept of different jobs being equivalent in terms of the effort, responsibility, and skills required, warranting similar pay.