If only the selling price per unit of a product increases (variable cost per unit and total fixed costs do not change), does the breakeven point increase or decrease? Using Break Even Analysis, provide a unique mathematical example to support you
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If only the selling price per unit of a product increases (variable cost per unit and total fixed costs do not change), does the breakeven point increase or decrease? Using Break Even Analysis, provide a unique mathematical example to support you
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- 1. If only the selling price per unit of a product increases (variable cost per unit and total fixed costs do not change), Using Break Even Analysis, provide a unique mathematical example to support the break even point decreasingIf the ordering cost triples in an EOQ model, while the remaining values stay constant, how will the EOQ change? How sensitive is the EOQ to variations in demand or costs?Which of the following cost behavior assumptions is true? (You may select morethan one answer.)a. Variable costs are constant if expressed on a per unit basis.b. Total variable costs increase as the level of activity increases.c. The average fixed cost per unit increases as the level of activity increases.d. Total fixed costs decrease as the level of activity decreases
- What is the major benefit of Breakeven Analysis? A. AB B. CD C. D. It allows you to know how much you have to sell to breakeven. It allows you to see the effect different methods of changing costs and prices of your products will have on profitability. It allows you to see what will happen if you lower fixed cost. It allows you to see what will happen if you increase variable cost.At the breakeven point Select one: a. Fixed costs will be equal to variable costs b. Sales will be equal to variable costs minus fixed costs c. Sales will be equal to variable costs plus target profit d. Sales will be equal to fixed costs plus zero target profit plus variable costs e. Fixed costs will be equal contribution margin minus variable costsAt the breakeven point Select one: O a. Fixed costs will be equal contribution margin minus variable costs O b. Fixed costs will be equal to variable costs C. Sales will be equal to variable costs plus target profit d. Sales will be equal to variable costs minus fixed costs e. Sales will be equal to fixed costs plus zero target profit plus variable costs Clear my choice LU to search
- 1. What is the difference between variable and fixed costs? Also explain how the total variable cost and total fixed cost is affected by increasing the number of units produced? What happens to the total variable cost per unit and total fixed cost per unit? 3. What is a mixed cost? 2. The high-low method of analyzing mixed costs uses only two observation points: the high and low points of activity. Are these always the best points for prediction purposes? Why or why not?Which of the following assumptions of the CVP graph is not true? Multiple Choice Costs are linear. Total fixed expenses are constant within the relevant range. Variable costs go down as volume goes up. The selling prices do not change. Volume is the only factor affecting total cost.If fixed costs decrease, which of the following statements is most likely correct? The relevant range has changed. The contribution margin per unit will increase. The volume of sales will increase. The break-even point will increase. Variable costs will increase.
- All else being equal , what happens to the unit contribution margin and the contribution margin ratio if the sales price per unit decrease ? Select one : a . Both unit contribution margin and contribution margin ratio are unchanged . . Both unit contribution margin and contribution margin ratio increase . c . Unit contribution margin increases while contribution margin ratio decreases . d . Unit contribution margin decreases and contribution margin ratio decreases . . None of the given answers .The value of any model is that it enables the user to make inferences about the real situation. True orFalse If variable costs increase, but price and fixed costs are held constant, the break even point will decrease. True or False If variable costs increase, but price and fixed costs are held constant, the break-even point will decrease. True orFalseWhat do you mean when you say "fixed costs"? What's the point? Is it possible to have a combined price? Describe each with a specific example