Patrice owns a boutique specializing in formal dresses. Sales are stable and Patrice feels it is time she had a 10 percent increase in her salary. If Patrice takes this increase in compensation, it will decrease the break-even quantity of dresses she needs to sell on a monthly basis.

Question

Quizplus · Accepted Answer

Increasing Patrice's salary will have no effect on the break-even quantity of dresses she needs to sell. The break-even quantity is only affected by factors such as fixed costs, variable costs, and selling price.

Patrice Owns a Boutique Specializing in Formal Dresses