Break-even-analysis

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Break-even-analysis

Garth Company sells a single product. If the selling price per unit and the variable expense per unit both increase by 10% and fixed expenses do not change, then:
   Contribution  Contribution  Break-even 
  Margin per unit margin ratio  in Units 
A Increases  Increases  Decreases 
B No change  No change  No change 
C  No change  Increases  No change 
D  Increases  No change  Decreases 

Choose one answer. 
 
a. A  
 
b. B  
 
c. C  
 
d. D

Reference no: EM1314898

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