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AFP CTP Question # 83 Topic 9 Discussion

CTP Exam Topic 9 Question 83 Discussion:
Question #: 83
Topic #: 9

A company with high operating leverage reduces its average cost per unit by 20% as its sales volume increases by 40% annually. This an example oF.


A.

low fixed costs.


B.

low variable costs.


C.

economies of scale.


D.

equal distribution of fixed and variable costs per item.


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