The Break-Even Point in Units Decreases If The

question 113

Multiple Choice

The break-even point in units decreases if the:

• A)flexible (variable)cost per unit increases.
• B)total capacity-related (fixed)costs decrease.
• C)contribution margin per unit decreases.
• D)selling price per unit decreases.

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Definitions:

Permafrost

Permanently frozen ground, usually occurring in the tundra, a biome of Arctic regions.

Little Rainfall

A climatic condition characterized by low precipitation over a period of time, which can influence ecosystems, agriculture, and water resources.

Reindeer

A large type of deer living in the Arctic and Subarctic regions known for their migration in large herds and their domestication in some areas.

Characteristic Climate

The average weather conditions, including temperature, precipitation, and wind, typically found in a particular region over a long period.