Which statement is FALSE?
A) Each different sales-mix of products has a different break-even point.
B) Changes in the sales-mix of products sold affects a company's net operating profit.
C) Changes in the sales-mix of products sold affects a company's contribution margin.
D) If the sales-mix of products sold changes, the break-even point does not change.

Question

Quizplus · Accepted Answer

This statement is false. If the sales-mix of products sold changes, the break-even point will change because the contribution margin of each product in the mix will change.

Which Statement Is FALSE