TRUE/FALSE. Write T' if the statement is true and F' if the statement is false. 51) 51) A contribution margin income statement classifies costs by function; that is, costs are classified as either product costs or period costs. 52) If all other factors remain constant, an increase in fixed costs will increase the breakeven point. 53) The amount by which sales can decrease before the company incurs an operating loss is called 52) 53) breakeven point. 54) CVP analysis assumes that the selling price per unit does not change as volume changes. 55) An increase in selling price per unit decreases the contribution margin per unit. 56) Absorption costing is used to analyze contribution margin. n The calculation of contribution margin ratio for service companies is significantly different from 54) 55) 56) 57) that of manufacturing companies. 58) 58) Total fixed costs can change from one relevant range to another. 59) The traditional income statement tormat calculates operating income as gross profit minus selling 59) and administrative expenses. 60) 60) Fixed costs per unit is inversely proportional to the volume of units produced