How would an increase in fixed manufacturing costs and variable selling costs, respectively, affect the contribution margin?

Name: How would an increase in fixed manufacturing costs and variable selling costs, respectively, affect the contribution margin?
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Fixed manufacturing costs do not affect the contribution margin as they are not part of variable costs. An increase in variable selling costs would decrease the contribution margin because they are deducted from sales to calculate it.

How Would an Increase in Fixed Manufacturing Costs and Variable