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QUESTION

If the variable cost per unit goes up, what pair of events happens?

If the variable cost per unit goes up, what pair of events happens?

                                                Contribution Margin             Break-Even Point

                        A.   Increases                               Increases

                      B.     Increases                               Decreases

                         C.   Decreases                             Decreases

                        D.    Decreases                             Increases 

                        E.    Decreases                             Remains unchanged

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