When a Greater Proportion of Costs Are Fixed Costs, Then

question 46

Multiple Choice

When a greater proportion of costs are fixed costs, then ________.

• A) a small increase in sales results in a small decrease in operating income
• B) when demand is low the risk of loss is high
• C) a decrease in sales reduces the total fixed cost per unit
• D) a decrease in sales reduces the cost per unit

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Definitions:

Silver Nitrate

A chemical compound used in medical applications, photography, and as an antiseptic, noted for its caustic properties.

Local Anesthesia

A method of anesthesia used to numb a specific area of the body, temporarily blocking pain without causing loss of consciousness.

Sterile Technique

Practices used in healthcare and laboratory settings to prevent contamination by microbes, including the use of sterilized equipment and aseptic procedures.

Electrocautery

An apparatus used to cauterize tissue with heat from a current of electricity.