Once the break-even point is reached:
Answer
net operating income will increase by the unit contribution margin for each additional item sold.
variable expenses will remain constant in total. | |
the total contribution margin changes from negative to positive. | |
the contribution margin ratio begins to decrease. | |
net operating income will increase by the unit contribution margin for each additional item sold. |
net operating income will increase by the unit contribution margin for each additional item sold.
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