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If a Company's Fixed Costs Were to Increase,the Effect on a Profit-Volume

Question 100

Multiple Choice

If a company's fixed costs were to increase,the effect on a profit-volume graph would be that the


A) contribution margin line would shift upward parallel to the present line.
B) contribution margin line would shift downward parallel to the present line.
C) slope of the contribution margin line would be more pronounced (steeper) .
D) slope of the contribution margin line would be less pronounced (flatter) .

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