On a Cost$-$Volume$-$Profit graph for a profitable company, the total expense line will be

steeper than the total revenue line.

$o.$ true

$$ false

In a Cost$-$Volume$-$Profit graph, the anticipated profit or loss at any given level of sales is

measured by the vertical distance between the total revenue line $($sales$)$ and the total fixed

expense line.

$o.$ true

$o.$ false

A shift in the sales mix from low$-$margin items to high$-$margin items will decrease total

profits even though total sales increase.

$o.$ true

$$ false

A shift in the sales mix from high$-$margin items to low$-$margin items can cause total profits to

decrease even though total sales may increase.

$o.$ true

$$ false

In two companies making the same product and with the same total sales and total expenses,

the contribution margin ratio will be lower in the company with a higher proportion of fixed

expenses in its cost structure.

$o.$ true

$$ false

If the variable expense per unit decreases, and all other factors remain the same, the

contribution margin ratio will increase.

$o.$ true

$$ false

The smaller the contribution margin ratio, the smaller the amount of sales required to cover a

given amount of fixed expenses.

$o.$ true

$$ false

For a given level of sales, a low contribution margin ratio will produce more net operating

income than a high contribution margin ratio.

$o.$ true

$$ false