If fixed costs increase, but the unit contribution margin stays the same, can we calculate the additional

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If fixed costs increase, but the unit contribution margin stays the same, can we calculate the additional volume needed to break even by dividing the change in fixed costs by the unit contribution margin? Why or why not?

Contribution Margin
Contribution margin is an important element of cost volume profit analysis that managers carry out to assess the maximum number of units that are required to be at the breakeven point. Contribution margin is the profit before fixed cost and taxes...
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Managerial accounting

ISBN: 978-0471467854

1st edition

Authors: ramji balakrishnan, k. s i varamakrishnan, Geoffrey b. sprin

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