The contribution margin ratio increases when a shift from

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1.)The contribution margin ratio increases when

A. variable costs as a percentage of sales decrease.

B. fixed costs increase.

C. variable costs as a percentage of sales increase.

D. fixed costs decrease.

2.)A shift from low-margin sales to high-margin sales

A. may increase net income, even though there is a decline in total units sold.

B. will always decrease net income.

C. will always decrease units sold.

D. will always increase net income.

Reference no: EM13603831

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