If the selling price per unit is increased,which of the following will result when performing a sensitivity analysis?

Question

Quizplus · Accepted Answer

Increasing the selling price per unit will result in an increase in variable costs like sales commissions and other nonmanufacturing costs. However, it is not likely to affect fixed costs (like administrative costs) or the direct materials purchase price. Increasing the selling price per unit may also have an impact on the total volume of sales, but this is not a certain outcome and would depend on other factors like customer demand and competition.

If the Selling Price Per Unit Is Increased,which of the Following