Question: Which statement is true if a company with a contribution margin ratio of 26% is operating above its break-even point: a) Each additional 1 in

Which statement is true if a company with a contribution margin

Which statement is true if a company with a contribution margin ratio of 26% is operating above its break-even point: a) Each additional 1 in sales will contribute 0.26 to profit. b) No profit is earned. c) Each additional 1 in sales will contribute 0.74 towards fixed costs. d) Each additional unit sold will add 26% to total variable costs

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