If by Dropping a Product a Firm Can Avoid More

question 148

True/False

If by dropping a product a firm can avoid more in fixed costs than it loses in contribution margin,then the firm is better off economically if the product is dropped.

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Definitions:

Genital Warts

A sexually transmitted infection caused by certain strains of the human papillomavirus (HPV), characterized by small bumps on the genitals or surrounding area.

Genital Herpes

A sexually transmitted infection caused by the herpes simplex virus (HSV), leading to genital sores and discomfort.

Syphilis

A sexually transmitted bacterial infection caused by the bacterium Treponema pallidum, notable for its varied stages and symptoms.

Human Immunodeficiency Virus

A retrovirus that infects cells of the immune system, leading to its progressive failure and increased vulnerability to infections and diseases, known as AIDS.