On the breakeven graph, if sales price and the unit variable cost remain constant and fixed costs decrease, the total cost line will shift

Name: On the breakeven graph, if sales price and the unit variable cost remain constant and fixed costs decrease, the total cost line will shift
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Question

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When fixed costs decrease, the total cost line will shift downwards as the breakeven point is reached with lower sales volume, resulting in a lower total cost at all levels of sales.

On the Breakeven Graph, If Sales Price and the Unit