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Breeze Company Has a Contribution Margin of $4,000 and Fixed

Question 2

Multiple Choice

Breeze Company has a contribution margin of $4,000 and fixed costs of $1,000. If the total contribution margin increases by $1,000, operating profit would:


A) Decrease by $1,000.
B) Increase by more than $1,000.
C) Increase by $1,000.
D) Remain unchanged.

Correct Answer:

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