Generally, fixed assets only vary directly with sales when the firm:

Name: Generally, fixed assets only vary directly with sales when the firm:
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Fixed assets typically only vary directly with sales when the firm is operating at full capacity. At full capacity, any increase in sales would require an increase in fixed assets to support the additional production or service capacity. The other options do not directly relate to the necessity of changing fixed assets in response to sales variations.

Generally, Fixed Assets Only Vary Directly with Sales When the Firm