Which of the Following Statements Is True If the Variable

question 148

Multiple Choice

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

• A) The breakeven point decreases.
• B) The contribution margin increases.
• C) The breakeven point remains the same.
• D) The breakeven point increases.

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Definitions:

Big Data

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Interest-earning Account

A bank account that provides interest payments on the cash deposited into the account.

Annual Rate

The percentage return on an investment or rate of interest per year, not accounting for the compounding of interest within that year.

Annual Withdraw

Annual Withdraw refers to the amount of money that is taken out of an investment or savings account each year.