If Sales in Store B Increase by $30,000 as a Result

question 70

Multiple Choice

If sales in Store B increase by $30,000 as a result of a $5,000 increase in traceable fixed expenses:

• A)the contribution margin should increase by $18,000
• B)the segment margin should increase by $17,000
• C)the contribution margin should increase by $12,000
• D)the segment margin should increase by $7,000

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Definitions:

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Rigidity

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