All Other Things Equal,an Increase in the Number of

question 117

Multiple Choice

All other things equal,an increase in the number of

• A)Increase unit contribution margin.
• B)Increase unit variable costs.
• C)Increase total fixed costs.
• D)Increase operating income.

---

Definitions:

LIFO Liquidation

The process of reducing inventory that has been accounted for using the Last-In, First-Out method, potentially affecting cost of goods sold and taxes.

FIFO

FIFO, or First-In, First-Out, is an inventory valuation method where goods first bought are the first to be sold, affecting cost of goods sold and inventory valuation on the balance sheet.

Revenues

The total amount of income generated by the sale of goods or services related to a company's primary operations.

FIFO

First-In, First-Out, an inventory valuation method where goods purchased or produced first are sold, used, or disposed of first.