A firm can reduce its breakeven volume by:
A) decreasing fixed costs.
B) decreasing contribution margin.
C) increasing variable costs.
D) lowering selling price.

Name: A firm can reduce its breakeven volume by: A) decreasing fixed costs. B) decreasing contribution margin. C) increasing variable costs. D) lowering selling price.
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Question

Quizplus · Accepted Answer

Decreasing fixed costs reduces the total amount of revenue needed to cover all costs, thereby lowering the breakeven volume.

A Firm Can Reduce Its Breakeven Volume By