CVP analysis relies on the assumptions that costs are either strictly fixed or strictly variable. Consistent with these assumptions, as volume decreases total Group of answer choices fixed costs decrease. variable costs remain constant. costs decrease

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 14MC: When fixed costs increase and all other variables remain unchanged, the contribution margin will A....
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CVP analysis relies on the assumptions that costs are either strictly fixed or strictly variable. Consistent with these assumptions, as volume decreases total
Group of answer choices
fixed costs decrease.
variable costs remain constant.
costs decrease.
costs remain constant.
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