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Which of the following statements is true? For a capital intensive, automated company the break - even point will tend to be higher and the

Which of the following statements is true?
For a capital intensive, automated company the break-even point will tend to be higher and the margin of safety will be lower than for a less capital
intensive company with the same sales.
The total volume in sales dollars that would be required to attain a given target profit is determined by dividing the target profit by the contribution
margin ratio.
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