Question
39. Travis Company recently gave its management employees a 10% raise in salary. All other costs and revenues were unchanged. Select the response that indicates
39. Travis Company recently gave its management employees a 10% raise in salary. All other costs and revenues were unchanged. Select the response that indicates the impact of the salary raises on the company's break-even point and margin of safety.
| break even point | margin of safety |
| A) increase | Increase |
| B) Decrease | Decrease |
| C) increase | Decrease |
| D) Decrease | Increase |
A. Choice A B. Choice B C. Choice C D. Choice D
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The New Yellow Book Government Auditing Standards
Authors: Rebecca A. Meyer
1st Edition
1119784638, 978-1119784630
