If the contribution margin increases from 30 to 35 percent of sales, what will happen to the

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If the contribution margin increases from 30 to 35 percent of sales, what will happen to the break-even point, and why will this occur?

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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Cost Management Accounting and Control

ISBN: 978-0324559675

6th Edition

Authors: Don R. Hansen, Maryanne M. Mowen, Liming Guan

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