Which of the Following Statements Is TRUE If Total Fixed

question 141

Multiple Choice

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

• A) Contribution margin increases.
• B) Contribution margin decreases.
• C) Break-even point in units decreases.
• D) Break-even point in units increases.

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Definitions:

Extinction

In behavioral psychology, the gradual weakening and eventual disappearance of a conditioned response when the reinforcement is no longer offered.

Punishment

A consequence applied to decrease or eliminate an unwanted behavior, typically involving either physical or psychological discomfort.

Shaping

A behavioral conditioning technique that involves reinforcing successive approximations toward a desired behavior.

Continuous Reinforcement

A learning process in which a desired behavior is reinforced every time it occurs, leading to quicker acquisition of the behavior.