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In Which of the Following Cases Is a Customer Most

Question 49

Multiple Choice

In which of the following cases is a customer most likely to be dropped?


A) When the customer's variable costs are more than its total fixed costs.
B) When the customer's avoidable fixed costs are more than its contribution margin.
C) When the customer's total fixed costs are more than its contribution margin.
D) When the customer's contribution margin is more than its avoidable fixed costs.
E) None of the answer choices is correct.

Correct Answer:

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