Question: If the variable cost per unit decreases, the total number of units required to break even will increase. t/f

If the variable cost per unit decreases, the total number of units required to break even will increase.

t/f

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

If the variable cost per unit decreases, the total number of units required to break even will increase ### True False

Q:

Respond that the following statements are TRUE or FALSE: 1) Higher fixed costs decrease the total contribution margin required to break even. 2) Higher fixed costs increase the total number of units...

Q:

Both job order costing and process costing track the product costs of direct materials, direct labor, and manufacturing overhead through three inventory accounts on the balance sheet. Select one:...

Q:

When the variable cost per unit increases, the total number of units required to break even also increases

Q:

true or false 1 9) The breakeven point is the point where the sales revenues are equal to the total variable costs plus the total fixed costs. 10) When the variable cost per unit increases, the total...

Q:

Respond that the following statements are TRUE or FALSE: 1) Sensitivity analysis allows managers to see how various business strategies will affect profit levels. 2) Sensitivity analysis empowers...

Q:

Which of the following does not represent a cost-volume-profit analysis equation? a. Sales = total expenses + profit b. Contribution margin- fixed expenses-profit=0 oc. Profit = contribution margin +...

Q:

The variable cost ratio is calculated as: Time lett 0.53:42 O a. Selling price per unit - the variable cost per unit O b. The selling price per unit ratio / variable cost per unit ratio Oc Variable...

Q:

erial Accounting - Spring 21 Time left 1:15:2 Mazoon Company's variable costs are 80% of the selling price and its fixed costs are $80,000. To realize profits of $20,000 from sales of 60,000 units,...

Q:

Which of the following statements about margin of safety is false? a. If only the variable cost per unit increases but the number of units sold and unit selling price and fixed cost are all constant,...

Q:

Lucy and Fred want to begin saving for their baby's college education. They estimate that they will need $200000 in eighteen years. If they are able to earn 6% per annum, how much must be deposited...

Q:

Implementing a Performance Management Communication Plan at Accounting, Inc. Accounting, Inc. is a consulting and accounting firm headquartered in Amsterdam, the Netherlands. Recently, Accounting,...

Q:

How does your companys culture support its business model? Can you determine any ways in which its top management team infl uences its culture?

Q:

According to the textbook, what is essential to the success of a business?

Q:

Is the style consistent?

Q:

Does your strategic intent play to your strengths?

Q:

Can you find a way to avoid confirmation bias as you analyse the data?