Question: If managers' compensation and performance is based on the amount of contribution margin their respective divisions generate there is usually incentive for these managers to

If managers' compensation and performance is based on the amount of contribution margin their respective divisions generate there is usually incentive for these managers to eliminate variable costs and replace them with fixed costs. Before this occurs, what is something the executives of the company should consider? Multiple Choice Whether or not the increase in fixed costs will result in hiring more employees to perform day to day operations. Pricing decisions related to the products that are manufactured by the new fixed costs. How data is collected for the accounting information system. All of these. Whether or not the increase in fixed costs is greater than the amount saved from eliminated variable costs

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