When the total fixed costs decreases,the breakeven point ________.
A) increases
B) decreases
C) remains the same
D) increases proportionately

Name: When the total fixed costs decreases,the breakeven point ________. A) increases B) decreases C) remains the same D) increases proportionately
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Question

Quizplus · Accepted Answer

If the fixed costs decrease, it means the total costs will decrease as well. As a result, the breakeven point will decrease, since the business will need to sell fewer units to cover its costs.

When the Total Fixed Costs Decreases,the Breakeven Point ________