A $2.00 increase in a product's variable expense per unit accompanied by a $2.00 increase in its selling price per unit will:
Multiple Choice
A) decrease the degree of operating leverage.
B) decrease the contribution margin.
C) have no effect on the break-even volume.
D) have no effect on the contribution margin ratio.

Question

30-11-2022
Business

Answered

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A $2.00 increase in a product's variable expense per unit accompanied by a $2.00 increase in its selling price per unit will:
Multiple Choice
A) decrease the degree of operating leverage.
B) decrease the contribution margin.
C) have no effect on the break-even volume.
D) have no effect on the contribution margin ratio.

Sagot :

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