Question
QUESTION 5 An increase in the level of activity will have the following effects on unit costs for variable and fixed costs: a. Unit Variable
QUESTION 5
-
An increase in the level of activity will have the following effects on unit costs for variable and fixed costs:
a. Unit Variable Cost Unit Fixed Cost
Decreases Remains constant
b. Unit Variable Cost Unit Fixed Cost
Remains constant Decreases
c. Unit Variable Cost Unit Fixed Cost
Increases Decreases
d. Unit Variable Cost Unit Fixed Cost
Remains constant Remains constant
1 points
QUESTION 6
-
Mariot Inc. is planning to sell 900,000 units for $2.0 per unit. The contribution margin ratio is 30%. If Mariot will break even at this level of sales, what are the fixed costs?
a. $720,000.
b. $270,000.
c. $540,000.
d. $380,000
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started