If the Variable Cost Per Unit Increases While the Sale

question 234

Multiple Choice

If the variable cost per unit increases while the sale price per unit and total fixed costs remain constant, which of the following statements is true?

• A)Breakeven point in units remains the same.
• B)Breakeven point in units decreases.
• C)Breakeven point in units increases.
• D)Contribution margin ratio increases.

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Definitions:

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