The most likely strategy to reduce the breakeven point would be to ?

a. Increase both the fixed costs and the contribution mar gin.

b. Decrease both the fixed costs and the contribution

mar gin.

c. Decrease the fixed costs and increase the contribution

margin.

d. Increase the fixed costs and decrease the contribution

margin.

Accounting Cost Accounting US GAAP CMA

Question added by Deleted user
Date Posted: 2015/08/21

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by muhammad shadab khan , accountant , hassan

answer is c.

when fixed cost is decrease and c.m increase it means breakeven reduce.

contribution margin cover fixed cost at breakeven point.

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