What Is the Result When the Contribution Margin Ratio Increases

question 118

Multiple Choice

What is the result when the contribution margin ratio increases?

• A)The variable cost ratio decreases.
• B)The break-even point increases.
• C)The fixed costs decrease.
• D)The price decreases.

---

Definitions:

Monocular Depth Cue

A monocular depth cue is a visual information piece that allows a person to judge depth using the input from just one eye.

Interposition

A visual cue in which one object partially obstructs another, allowing the observer to perceive depth and relative distance.

Linear Perspective

A technique in art and design that creates the illusion of depth and distance using converging parallel lines.

Retinal Disparity

A visual cue to depth perception that arises from the slightly different images of the world seen by each of the two eyes.