Question: a Explain, using examples, the difference between fixed costs and variable costs for Fruity Smoothies. b Using the information in Appendix 1, consider the two

a Explain, using examples, the difference between fixed costs and variable costs for Fruity Smoothies.

b Using the information in Appendix 1, consider the two options for increasing the market share of Fruity Smoothies. Recommend which option the Directors should choose. Justify your choice using appropriate calculations of profitability ratios.

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