Which One of These Combinations Must Increase the Contribution Margin

question 78

Multiple Choice

Which one of these combinations must increase the contribution margin?

• A) Increasing both the sales price and the variable cost per unit
• B) Increasing the sales quantity and increasing the variable cost per unit
• C) Decreasing the sales price and increasing the sales quantity
• D) Decreasing both fixed costs and depreciation expense
• E) Increasing the sales price and decreasing the variable cost per unit

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Definitions:

Adrenocorticotropic Hormone

A hormone produced by the anterior pituitary gland that stimulates the adrenal cortex to release corticosteroid hormones.

Cortisol

Steroid hormone released by the zona fasciculata of the adrenal cortex; increases blood glucose and inhibits inflammation.

Positive Feedback

A process in which the end products of an action cause more of that action to occur in a feedback loop.

Hypocalcemia

A medical condition characterized by abnormally low calcium levels in the blood, which can cause neurological issues.