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When Considering the Impact of Income Taxes on the Sales

Question 76

Multiple Choice

When considering the impact of income taxes on the sales volume needed to achieve a desired after-tax profit,which of the following statements is true?


A) Fixed costs will increase.
B) As the tax rate increases,the number of units that need to be sold will decrease.
C) The before-tax profit will need to be calculated.
D) The contribution margin per unit will decrease.

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