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___ 1. If product A has a higher unit contribution margin than product B, then product A will also have a higher CM ratio than
___ 1. If product A has a higher unit contribution margin than product B, then product A will also have a higher CM ratio than product B. ___ 2. The break-even point occurs where the contribution margin is equal to total variable expenses. ___ 3. The break-even point can be expressed either in terms of units sold or in terms of total sales dollars. ___ 4. If the sales mix changes, the break-even point may change. ___ 5. For a given increase in sales dollars, a high CM ratio will result in a greater increase in profits than will a low CM ratio. ___ 6. If sales increase by 8%, and the degree of operating leverage is 4, then profits can be expected to increase by 12%
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