Company XYZ expects the profit for next year to be higher than this year's profit. Assume that the selling price per unit variable cost per unit and total fixed costs will not change. Which one of the following is false? Select one: O a breakeven point next year will be the same as this year O b. total fixed cost next year will be the same as this year O c degree of operating leverage nexct year will be lower than this year Od margin of safety nect year will be lower than this year Oa. contrbution margin ratio next year will be the same as this year

Company XYZ expects the profit for next year to be higher than this year's profit. Assume that the selling price per unit variable cost per unit and total fixed costs will not change. Which one of the following is false? Select one: O a breakeven point next year will be the same as this year O b. total fixed cost next year will be the same as this year O c degree of operating leverage nexct year will be lower than this year Od margin of safety nect year will be lower than this year Oa. contrbution margin ratio next year will be the same as this year

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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