Question: A 1 0 % increase in sales volume and a 2 0 % increase in variable cost per item produced will: Always increase the contribution

A 10% increase in sales volume and a 20% increase in variable cost per item produced will:
Always increase the contribution margin, since we are selling more items.
Always decrease the contribution margin, since it has increased at a higher percentage than sales.
Create either a higher or lower contribution margin, depending on the initial price level of each.
A 1 0 % increase in sales volume and a 2 0 %

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