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Author Question: When both fixed and variable costs go down, (Read 60 times)

kms5229

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Question 1

If sales price and the unit variable cost remain constant and fixed costs decrease, contribution margin will
◦ remain the same.
◦ increase.
◦ vary, depending on the circumstances.
◦ decrease.

Question 2

When both fixed and variable costs go down,
◦ revenue goes up.
◦ operating income goes down.
◦ contribution margin goes down.
◦ operating income goes up.


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Marked as best answer by kms5229 on Feb 5, 2023

Snabbey

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kms5229

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Reply 2 on: Feb 5, 2023
:D TYSM


fatboyy09

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

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