What happens to the contribution margin when fixed expenses decrease and variable costs per unit remain constant?
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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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Contribution margin will not change because a change in fixed cost does not ...View the full answer
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Related Book For 
Managerial Accounting A Focus on Ethical Decision Making
ISBN: 978-0324663853
5th edition
Authors: Steve Jackson, Roby Sawyers, Greg Jenkins
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