All Else Being Equal,which of the Following Would Not Cause

question 79

Multiple Choice

All else being equal,which of the following would not cause the contribution margin to increase?

• A) A decrease in variable costs per unit
• B) An increase in sales volume
• C) A decrease in fixed costs per unit
• D) An increase in the sales price per unit

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Definitions:

Utility

A measure of satisfaction or happiness that a consumer derives from the consumption of goods and services.

Subsidy

A financial contribution granted by a government or other organization to support an economic activity, reduce the price of a commodity or service, or for other purpose deemed beneficial.

Cost Schedule

A detailed listing of all costs associated with a project or production process, often segmented by types or periods.

Patent

A legal document granted by the government giving an inventor exclusive rights to make, use, and sell an invention for a certain period of years.