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only once sentence needed for each question :) Questions 1. If management chooses to reduce its selling price per unit to match that of a

only once sentence needed for each question :) image text in transcribed
Questions 1. If management chooses to reduce its selling price per unit to match that of a competitor how will the break-even point be affected? 12. What is meant by the term sales mix? 3. Performance Company sells two types of performance tires. The lower-priced modelis quaranteed for only 50,000 miles; the higher-priced model is quaranteed for 150 000 miles. The unit contribution margin on the higherpriced tire is twice as high as that of the lower-priced tire. If the sales mix shifts so that the company begins to sell more units of the lower-priced tire, explain how the company's break-even point in units will change. 14. What is meant by cost structure? Explain how a company's cost structure influences its sensitivity to changes in sales volume 15. What is operating leverage? How does a company increase its operating leverage? 16. What is the major rationale for the use of variable costing? Discuss why variable costing may not be used for financial reporting purposes

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