Cool-It Company Manufactures and Sells Commercial Air Conditioners

question 88

Multiple Choice

Cool-It Company manufactures and sells commercial air conditioners. Because of current trends, it expects to increase sales by 10 percent next year. If this expected level of production and sales occurs and plant expansion is not needed, how should this increase affect next year's total amounts for the following costs. Variable Costs Fixed Costs Mixed Costs

• A) increase increase increase
• B) increase no change increase
• C) no change no change increase
• D) decrease increase increase

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Definitions:

Container

An object used for holding, storing, or transporting items, varying in size, shape, and material.

Sublingually

The method of administering drugs by placing them under the tongue for absorption through the mucous membranes.

Under

Positioned beneath or below a certain point or level, often indicating lower position or rank.

Tongue

A muscular organ in the mouth that is essential for tasting, swallowing, and speaking.